'Modest default risk' in property price slump

The recent spate of rises in mortgage lending rates would improve banks' profit margins but they also reflected higher risks for the home-loan business, said Fitch's head of Hong Kong financial institutions Sabine Bauer. But the ability of homebuyers to repay would be stable even if property prices dropped, given the low interest rates.

via Business feed http://www.scmp.com/business/banking-finance/article/1196712/modest-default-risk-property-price-slump