Hong Kong Home Sales Tumble 58% Week to Week

Sales over $10 Million HKD (1,280k USD) require a 50% down payment.
Foreign buyers must deposit an extra 10% (Overseas buyers in Q1 were 1/3 of luxury sales.)

I was in Hong Kong in the late nineties. They were suffering terribly from that housing correction. The lamentations and rending of garments were quite a spectacle. Amazing that a mere 14 years later, here they are again. Economic Reality 2 Human Delusion 0.

Hong Kong Home Sales Tumble After HKMA Raises Down Payments

Sales at 10 of Hong Kong’s biggest private residential developments fell 58 percent at the weekend from a week earlier after the government raised minimum down payments and deposits for foreign buyers.

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Property transactions fell for a fifth straight month in May. Still, home prices gained 1.3 percent in the week ended June 5 from the previous seven days, according to Centaline.

Market top anyone?