Hong kong house prices continue downward spiral

House prices in Hong Kong are continuing their downward spiral, according to a new report. A survey from agent Ricacorp Properties found that average prices on 50 housing estates have now fallen for three months in a row, with values dipping 1 per cent in November 2015 month-on-month.

"There is a consensus expectation of a price fall. Prospective home buyers will not enter [the market] if flat owners do not slash prices," Derek Chan, head of research at Ricacorp Properties, tells the SCMP.

Chan predicts a 1 per cent decline this month, followed by another 1 per cent decline in January 2016, leaving them around 5 per cent below the peak of HK$12,243 per square foot recorded in August 2015.