Hong Kong’s residential mortgage loans in red decreases to HK$34.4b

The total cases is at 6,376 by end-March, lower than the over 12,000 cases in 2022.

The number of residential mortgage loans (RMLs) in negative equity in Hong Kong totalled 6,378 cases at end-March, according to a survey conducted by the Hong Kong Monetary Authority (HKMA). This is lower than the 12,164 cases at end-December 2022.

RMLs measured are those provided by “authorized institutions on the basis of first mortgages” according to HKMA. The figures do not include RMLs from co-financing schemes.

The aggregate value of RMLs in negative equity also fell to HK$34.4b at end-March, from HK$66.3b at end-December 2022.

The unsecured portion of these loans decreased to HK$0.7b in March, HKMA said, a drop from the HK$2.5b of unsecured loans at the end of 2022.

The mortgage portfolios of the surveyed authorized institutions represent about 99% of the industry total, HKMA said.