When the slump finally comes, home prices could fall by half

I know this column has banged on ad nauseam about Hong Kong property prices recently.

But there's a couple of big topics we haven't tackled: how much Hong Kong homes are overvalued and how far prices can fall, and the major structural changes the government needs to make to ensure the market's long-term health.

The structural changes can wait for another day. But given the government's pledge to ramp up housing supply, it's worth asking now how overpriced Hong Kong homes really are, and how deep any eventual correction is likely to be.

via Business feed http://www.scmp.com/business/article/1132551/when-slump-finally-comes-home-prices-could-fall-half