Hong Kong’s Mortgage Market Sees Uptick in November 2024

The Hong Kong Financial Authority (HKMA) has launched its residential mortgage survey outcomes for November 2024, revealing important shifts within the metropolis’s mortgage panorama. The variety of mortgage purposes rose by 9.7% from the earlier month, totaling 7,995 purposes, in keeping with the Hong Kong Financial Authority.

Mortgage Loans Surge

In November, the overall worth of accepted mortgage loans surged by 27.7% in comparison with October, reaching HK$24.2 billion. This enhance was pushed by substantial development in loans for each main and secondary market transactions. Mortgage loans for main market transactions climbed by a powerful 46.2% to HK$7.9 billion, whereas these for secondary market transactions rose by 20.3% to HK$13.7 billion. Moreover, loans for refinancing skilled a 20.1% development, amounting to HK$2.6 billion.

Mortgage Drawdowns and Pricing Developments

Regardless of the uptick in approvals, mortgage loans drawn down in November decreased by 5.2% from October, totaling HK$10.6 billion. A notable development was noticed within the pricing of latest mortgage loans. The proportion of loans priced as regards to the Hong Kong Interbank Supplied Charge (HIBOR) elevated from 89.2% in October to 92.2% in November. Conversely, loans priced as regards to greatest lending charges noticed a decline from 3.6% to 2.6% over the identical interval.

Excellent Loans and Delinquency

The overall excellent worth of mortgage loans skilled a slight decline of 0.1%, ending November at HK$1,871 billion. The mortgage delinquency ratio remained low at 0.11%, whereas the rescheduled mortgage ratio stayed practically unchanged at 0%.

The HKMA’s report signifies a strong efficiency in Hong Kong’s mortgage market regardless of a minor dip in mortgage drawdowns, reflecting ongoing confidence within the metropolis’s actual property sector.

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