Weak Hong Kong dollar to buy a house to guard against gains and losses

Hong Kong dollar is pegged to the U.S. dollar. Weak dollar makes the Hong Kong dollar weak. Inflow of foreign capital into the United States and Hong Kong speculation make the stock prices rise rapidly in both places. In Hong Kong, property prices hit record highs again, but borrow money now People in the building have a crisis. When the United States hikes interest rates and the U.S. dollar gets stronger, the asset prices will fall. Property prices in Hong Kong are no exception. People who borrow money to buy flats now face falling property prices and interest increases. Loan unchanged, into a weak Hong Kong dollar to borrow money, strong Hong Kong dollars when the money back. So, people who borrow money to buy a building are not worth the candle.

Now people who call buy-out are cautious. Well-off people are good people. Therefore, most commentators only sing the property market. Even if they do not have enough money to buy a house, they should be helped by the old sinus. In fact, if we understand the trend of the U.S. dollar, we know that Hong Kong’s property market rally is due in part to Trump’s weak dollar policy and the benefits to the United States. Now we are seeing the most However, once the exchange rate of U.S. dollar rebounds and interest rates rise, property prices in Hong Kong will fall. People who are hurt by mortgage loans now are not losing property prices but losing their property. The catchment, like the rise in property prices, is not the same as winning property prices but winning catch water.

At present, the property price increase is “won by the catchment”

Last year, property prices rose by 13%. Everyone was very excited. However, the U.S. dollar dropped by 14% since the beginning of last year. Everyone can not feel it. If foreigners bought a house in Hong Kong earlier this year and sold it today, Taxes include spicy stamp duty and all kinds of royalties. When he redeems his proceeds from sales of flats back to his own currency, he still has to go beyond the loss. In the extreme, Hong Kong people feel that they have made a lot of money and actually earn only the remittances In fact, the United States will definitely raise interest rates. After the interest rate hike, the U.S. dollar will become stronger and the supply increase even worse. However, if the interest rate and the supply amount coincide with the increase in the supply of water, the price of property will drop. Next, by then, there is no catch veil, we can see the real face of the property market, the original catchment can make everyone pockets shrunk.