Housing market of Hong Kong showed the biggest decline since 2016, and a whole row of factors supports this statement, Bloomberg writes.

New homes sales this month are on track to be the lowest since January or February this year.

Meanwhile, secondary housing prices have been falling eight months in a row, and this is the longest period since 2016. Moreover, this month they showed the biggest weekly drop since March 2016 falling by 1,3%. Compared with the high peak of August prices lost 5%.

All these factors indicate that the least affordable housing market in the world entered into correction stage. Goldman Sachs Group Inc. forecasts decline from 15 to 20 percent within next two years, as interest rates grow along with US rates.