Residential Mortgage Survey Results for August 2007

Press Releases

24 Sep 2007

Residential Mortgage Survey Results for August 2007

According to the 23 authorized institutions (AIs) which participate in the HKMA's monthly survey of residential mortgage lending, new mortgage loans drawn down during August increased by 13.9% to HK$16.1 billion.

New loans approved rose by 10.9% to HK$19.3 billion. The increase was due to increases of HK$0.3 billion (+8.6%) in approvals for primary market transactions and of HK$1.7 billion (+15.3%) in approvals for secondary market transactions, which more than offset the HK$0.1 billion (-2.0%) decrease in approvals for refinancing loans. The number of new applications increased by 19.4%.

The proportion of new loans approved at more than 2.5% below the best lending rate increased to 93.0% from 90.9% in July, while the proportion of new approvals priced with reference to rates other than the best lending rate or fixed rates decreased to 3.3% from 5.2% over the same period.

The outstanding value of mortgage loans increased by 0.7% to HK$542.3 billion.

The mortgage delinquency ratio declined further to 0.13%. With the rescheduled loan ratio unchanged at 0.23%, the combined ratio improved to 0.36%. Both the mortgage delinquency ratio and the combined ratio reached record lows in August.

Annex

For further enquiries, please contact:
Thomas Chan, Senior Manager (Press), at 2878 1480 or
Hing-fung Wong, Officer (Press), at 2878 1802

Hong Kong Monetary Authority
24 September 2007

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Last revision date : 24 September 2007