Hong Kong Housing Markets May Suffer From Fed Rate Hike

The video discusses the impact of rising mortgage rates on the housing market in Hong Kong. It highlights the challenges faced by homeowners due to increasing interest rates and the resulting stagnation in the housing market. The correlation between high interest rates and reduced housing demand is explored, along with the difficulties developers face in selling new homes amidst rising costs.

What was the initial mortgage rate in Hong Kong earlier this year?

• 3.5%

• 2.5%

• 1.5%

• 4.5%

How does the increase in mortgage rates affect housing demand?

• Increases supply

• Decreases demand

• Increases demand

• Has no effect

What is the relationship between high mortgage rates and transaction volumes?

• Positively correlated

• Negatively correlated

• No correlation

• Directly proportional

What is one of the main challenges developers face due to rising interest costs?

• Lower construction costs

• Difficulty in new home sales

• Decreased interest costs

• Increased demand for new homes

What is the effect of the end of cheap money on the housing market?

• Increased turnover

• Stagnation

• Higher demand

• Lower interest rates