Hong Kong ‘Underwater Mortgage’ Levels Surge to Two-Decade High

(Bloomberg) — Negative equity levels in Hong Kong surged to a two-decade high amid a prolonged slump in what is forecast to be one of the world’s worst property markets this year.

The value of “underwater mortgages” jumped to HK$131.3 billion ($17 billion) as of the end of December, up from HK$59.3 billion in September and the highest level since 2003, according to Hong Kong Monetary Authority statistics released Wednesday.