Last week, the Hong Kong Monetary Authority reported that negative equity cases in Hong Kong rose to 32,000 during the first quarter.
Eddie Yue, chief executive of the Authority, said that although property prices rose slightly by 1.1% in March, there was still a 1.8% decline in the first quarter, leading to an increase in negative equity cases.
As property prices stabilise, it is hoped that the number of negative equity cases will also stabilise.
Looking back at the latest data from March, the private residential property price index rose to 305.7, marking a 1% increase month-on-month and halting ten months of consecutive decline.
However, with anticipated US interest rate cuts delayed and several new projects launching at lower prices, the secondary market is likely to face ongoing pressure, potentially keeping property price increases modest in the near term.
