There are no restrictions on foreigners buying flats in HK so you don't need to be a resident. If I were you, I would get my financing sorted out before buyinh. A big international bank like HSBC or Citibank might lend you the money if you have an income source or some other assets overseas - especially if you intend to put down a large deposit. However, it won't be straightforward. As for staying in HK permanently, you need to either a) get married b) have HK$7m approx or c) set up a business with solid cash-flow and probably offering local employment (all of which must be audited). For the latter to happen, you'll probably need about HK$7m just to get a local busienss off the ground as HK is very expensive when it comes to rent.
(5 yrs ago)
LGMV is right as most anyone can buy a flat in HK, one does not need a work visa to do that. But to get residency you would need to up the ante to a minimum of HK$6.5M see The Capital Investment Entrant Scheme (CIES) http://www.cies.hk/ Though I have had friends purchasing and renting HK properties in the past that have just gone border hopping or a week here or there in Asia keeping there properties here for many years
Pizzace. Up to a point. But the bank will value a property before lending so an overinflated price is not that easy to stick on a bank. If the flat is in a mainstream development which is easy to value and the buyer puts down 50-60%, then the risk is quite low. I doubt the bank would entertain lending for a village house or something that is difficult to value.
Pizzaace. Maybe. But instant home valuations are available on the internet these days as both HSBC and Hang Seng Bank.
(5 yrs ago)
I have bought several flats that way, but I will warn you that HK-based banks like to see HK-sourced income. So you may need to show them that. Perhaps you can "pay yourself" a property management fee, or something, and have that flow through your HK account. That might then be used as the basis for a 50% loan.
Above 50% LTV it may be difficult. I have done 60% and a bit higher, but that was in 2007-8. It may be more difficult now
(5 yrs ago)
I did purchase 3 apartments in Hong Kong, all in 2003, so i did very well. I rented 2 and live in one. Thankfully i have just sold 2 for over 160% profit. My third is now up for sale and i have had 3 offers. So far the third is $400'000 more than the asking price. This is only a $6'000'000 apartment. The guy that is buying is adding to his portfolio of 4 flats all acquired in the last year. His rental yield on this flat of 3%. He has a mortgage agreed of 80% at an interest rate of 1% from HSBC.
This is ridiculous what is he thinking, if all his properties are based on this formula then as soon as the interest rates rise as they will he is in serious trouble.
You cant rely on China there bubble is coming, The USA and EU will be pushing for the RMB to be revalued, if China dose not comply we will see import duties rise on China made products. This and the slow down in the USA is going to stem the flow of Chinese made products, and in turn stem the flow of Money from the mainland.
I saw the crash in the USA and sold my properties maybe 1 year too early but here? I think not.
Just look out at night see the amount of properties terribly designed and built. The Hong Kong property market is controlled by 6 or 7 greedy developers and kept artificially high by the HK government. Take a walk and see how many shops are empty this is unpresentated.
You mention luxury what living in Park view in a 2000 sq ft apartment overlooking a polluted mess. Hong Kong is Ugly, Dirty and getting more polluted.
Enough is enough im getting my kids out of this they have ben here for 9 years thankfully no respitory issue. unlike lots of his friends!!
Good luck im not preying for a crash i have seen all these signs before... My feeling is its coming!!!!
You seem to miss the point that the people who drive the property market don't care about how ugly, dirty, polluted, or poorly-designed HK is.
Back to main category
(5 yrs ago)
Ted is right. If tristan1970 hates HK so much, then go back to the US. Enjoy paying those high taxes and using inefficient public transport (assuming you're not moving to NYC).
You must be logged in to be able to reply.