Hong Kong Sees $270 Billion Property Wipeout Since 2019

Hong Kong's deepening property slump will soon reach its five-year mark. At least $270 billion has been erased from real estate values in the city since 2019, according to new analysis by Bloomberg Intelligence. As Russell Ward reports, Hong Kong is suffering from a mix of rising interest rates, financial-sector job losses, changing work habits and questions about its future as a major global base.

--------
More on Bloomberg Television and Markets


Connect with Bloomberg Television on:

Connect with Bloomberg Business on:

More from Bloomberg:


Watch more on YouTube:

[lastChang]

Hong Kong 🇭🇰, as a financial center, is finished after China introduced the repressive "National Security" laws.
- Talents have left. Businesses have closed. Millionaires have fled with their money.
- Empty office buildings can be seen all over the former prosperous British colony.

[snowsong]

There is no such thing as unsinkable! Property market always tied to economy. If economy collapse due to politics, property market will certainly diminish.

[ThriftyCHNR]

They are rich, they can manage. No need to waste tears here....

[louistan]

A temporary inconvenience. Hong Kong property prices were held artificially high during British rule, with billions from land sales going back to England. After the British handover of Hong Kong to China, property tycoons' lackeys in government made it impossible for public housing bills to be passed through years of filibustering. An adjustment is in process, making housing more reasonable and affordable compared with the past for Hongkongers. Now it is in the dips. But will this last forever?

[qwertyuio]

For the billionaire investor class, this is a bad thing.

For those priced out since the GFC, this is a good thing.

[Gaming_Antics]

They still got people living in chicken cages and closet size rooms. I have no sympathy for the $270 billion dollars property lost. Rich people can take care of themselves, they just become less rich here, not poor.

[YSKWatch]

cheap property is always good for common people.

[roegoleg]

Glad to know that property has reset to reasonable levels for regular people to afford homes. The reset will not be so calm in the west.

[louistan]

The reason for Hong Kong's historic high property prices is the result of the collusion between the colonial government when Hong Kong was a British colony and selected Hong Kong property developers limiting land parcels for high bids and bringing land sale profits back to Britain. Once entrenched, these same property developers with their representatives in the Hong Kong Government after the return of Hong Kong back to China sabotaged new land and property proposals by the government in its attempt to provide more public housing. With the internal security act and the purge of these people the SAR Government has been successfully implementing changes to property ownership and creating public housing. The collapse of the property market has helped make affordability better for tge masses.

[worldlife]

Hong Kong property is a bad investment because property developers control everything. Each apartment has pages of terms and conditions set by a property management company. If you don't agree to their conditions. You can't buy the property. You pay property management fees plus taxes too. These apartments have design and sound issues. Majority of the apartment units are expensive and tiny.

[hybridstryker]

Bro Hong Kong don’t exist anymore is mini China now😂😂😂

[worldlife]

Negative equality will result in falling prices. Foreigners continue to move out of Hong Kong continuously to find better investment opportunities in places like Bangkok.

[maggotman]

I’m sure Bloomberg was a booster of HK property too!

[curthing]

Residential property in HK has direct correlation to interest rates. HKD follows Fed rate. When Fed decreases rates, market comes back, so what's the concern 🤷🏻‍♂️?

[ocswoodlands]

when HK had to follow China in their covid19 madness, it made people realise that HK was already in post 2047....

[wc]

With China’s National Securities Law and HK slowing reverting back to China, HKers are leaving Hk permanently. So a continued population exodus over time will also reduce property prices…. Simple supply & demand…

[tatsuhitot]

People leaving HK does not mean population decline. Mainland chinese will rush in to fill the gap. The place will be as crowded as before if not more. Just less diverse, with mostly mainlanders becoming the new hongkongers.

[jimbojimbo]

Good, just hurry up and officially call them China

[tengchuankhoo]

Seriously, this old chestnut again on how disastrous China is managing its and HK economies 😂