Hong property developers have been offering home finance schemes over the past two months in an attmept to boost sales , however if house prices drop by 10 % their offer will put hundreds of " marginal " buyers in danger of falling into negative equity . Some developers are trying to entice buyers by offering up to 95 % of home loans through wholly - owned financial instititions . Younger demographics , first - time buyers and the financially vonerable are likley to be the most opposed to these loans , meaning they will fall into negative equity if prices decline 5 to 10 % . This is of great concern considering that some investment banks have experienced a 10 - 30 % fall in house prices from now to 2017 .
Hong Kong developers have been offering home finance schemes over the past two months in an attmept to boost sales, however if home prices drop by 10% their offer will put hundreds of "marginal" buyers in danger of falling into negative equity. Some developers are trying to entice buyers by offering up to 95% of home loans through wholly-owned financial instititions. Younger demographics, first-time buyers and the financially vonerable are likley to be the ones agreeing to these loans, meaning they will fall into negative equity if prices decline 5 to 10%. This is of great concern considering that some investment banks have forecasted a 10-30% fall in house prices from now to 2017.