Are you sitting down? Good. Hong Kong’s housing market just got even more expensive

The territory’s housing affordability ratio hit 67% for the second quarter

TRD New York /
Aug.August 11, 2017 09:30 AM

It’s already the world’s most expensive housing market. And it just keeps getting more expensive.

In the second quarter, the proportion of income spent on mortgages in Hong Kong—a measure known as the housing affordability ratio—hit 67 percent, shooting up from 56 percent earlier in the year, accoriding to Bloomberg.

On average, a household earning median income would need about 18 years to be able to afford a home in Hong Kong. Overall flat prices were 94 percent higher in June compared to 1997, according to government statistics.

Residential transactions increased by 43 percent during the second quarter, which helped contribute to the rising prices.

Like New York, finding a decent sized place to live in Hong Kong can already be difficult, with one new housing development in Hong Kong’s Happy Valley offering apartments with usable floor areas of 61 square feet.  This makes them a touch smaller than prison cells located 30 minutes away. [Bloomberg] – Eddie Small


Related Articles

arrow_forward_ios
Existing home sales rose again in September as listed inventory sunk to a new low. (iStock)

Existing homes sales remain high, but inventory is “historically low”

Existing homes sales remain high, but inventory is “historically low”
 Jennifer Lawrence and 17 Jane Street with Edward Minskoff (Getty; Sciame Construction)

Jennifer Lawrence buys at Ed Minskoff’s West Village condo

Jennifer Lawrence buys at Ed Minskoff’s West Village condo
Gov. Andrew Cuomo (Getty; iStock)

New York City lifts lockdown for some Covid hot spots

New York City lifts lockdown for some Covid hot spots
217 West 57th Street with Extell Developement's Gary Barnett and Corcoran's Pamela Liebman (Photos via Extell; Barnett via Anuja Shakya)

Extell brings on Corcoran Sunshine to help market Central Park Tower

Extell brings on Corcoran Sunshine to help market Central Park Tower
660 Madison Avenue (Photo via Jenel Real Estate)

Safra family finally begins 660 Madison’s office-to-resi conversion

Safra family finally begins 660 Madison’s office-to-resi conversion
The Northeast is driving gains in building permits and housing starts (iStock)

Northeast drives gains in building permits, housing starts

Northeast drives gains in building permits, housing starts
(Getty, iStock)

Mortgage applications to buy homes decline for fourth straight week

Mortgage applications to buy homes decline for fourth straight week
Public Advocate Jumaane Williams (Getty; iStock)

“It’s compliance warfare”: Industry slams landlord accountability bills

“It’s compliance warfare”: Industry slams landlord accountability bills
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...