Quick Day Trip to Zhongshan via Macau

At the Hengqin border inspection building looking at Zhuhai

After we finished lunch in Macau, we headed to Zhongshan via the Hengqin border check point.

Hengqin is actually an island near Macau's Taipa and Coloane districts, where many of the massive casino resorts are, such as Londoner, The Venetian, City of Dreams, Galaxy, and Studio City.

Hengqin is a special economic zone 

We passed by these expansive properties with dazzling architecture, in particular the Zaha Hadid-designed Morpheus with its exo-skeleton construction so that there are no internal pillars inside the 40-storey building.

What's interesting about Hengqin is that while it is technically Chinese land, the Macau Special Administrative Region has governance over this area, which is a special economic zone, much like what Shenzhen was over 45 years ago. 

After about a 25-minute ride we arrived at the Hengqin Border Inspection Building. Once inside we had to fill out the China arrival form and then the actual passport control process is straight forward: you step up to the first counter and it's a Macau border officer with a perspex gate. 

He had to wait because the counter right after is the China officer, who was still processing the person before us; once that person was completed, the gates opened and we were allowed to move to the China officer who took a while to process our passports.

Zhuhai has some very modern buildings

Those holding wui heung jing, or "return home permits" were very quickly processed, while others with passports take a while as they scan the passport, take pictures and scan fingerprints too. 

Once that we done we were basically in Chinese territory, specifically Zhuhai. A driver picked us up in an electric car called Aion Y Plus by GAC Aion from Guangzhou. I asked the driver about the mileage on electric cars, and he said it was around 400km on a full charge.

He explained there were many places to charge, and even after 20 minutes it's good to go for a couple of hours. While they are efficient, he said the battery will wear out after about five years, much like a smartphone battery, and by that point there is no point in replacing it -- it would be better to buy a new car.

It didn't seem very environmentally friendly... were there solutions in place for recycling and such?

The drive to Zhongshan took about 40 minutes, to a suburb area that has a gated community. 

A quiet gated community with a large garden

A lot of Hongkongers have bought property in Zhongshan for retirement, as real estate is much less expensive than Hong Kong. An unfinished flat around 1,000 sq ft costs around 2 million yuan (US$282,852), and about 60,000 yuan in renovations will make it ready for moving in. 

At one point prices for apartments doubled from speculation, but now the values have fallen back to the original prices, perhaps a reflection of the property sector in the doldrums these last few years.

The gated community we checked out is very quiet, mostly because many of the flats are not inhabited full time. There's a large beautiful garden in the middle, and has a very big swimming pool that is only open in the summer.

After a hearty dinner in a nearby restaurant, we took a car to get back via the Hong Kong-Zhuhai-Macau bridge. The 40-minute ride took us to the Hong Kong-Zhuhai-Macau Bridge Zhuhai Port, where we bought bus tickets and then again went through passport control to exit China.

At the Zhuhai border to catch the bus back to HK

Then we got on the next bus available which took us about 40 minutes to get to Hong Kong. We went on the bus at night so there wasn't much to see outside, or in the tunnel, which seemed to go on forever. We arrived at the Hong Kong border checkpoint, and individually passed through immigration and then waited for our bus. We were near the airport because we could see planes taking off nearby every other minute.

Of the whole trip, waiting for our bus was the longest holdup -- about 15 minutes -- before it arrived, picked us up and drove to Hong Kong Island, and then to North Point.

What an adventure -- Hong Kong-Macau-Zhuhai-Zhongshan-Zhuhai-Hong Kong in one day!

Unease Leads to Falling Property Sales

One of Vancouver's top condo markets has slashed staff count

Unease is in the air, and the next few months look extremely challenging for people on edge about their employment and financial situation.

It was disconcerting to read the news that one of the biggest condo marketers in Vancouver cut 25 percent of its staff.

Rennie laid off 31 of its office staff, claiming geopolitics, economic factors and artificial intelligence for the drastic move.

"It was a necessary step in response to a changing market, but no less painful," the company said on LinkedIn.

The company's post added Rennie is reducing its head office staff count to 92 from 123 [with a total of 400 employees], and pleaded for anyone looking for people to consider its "thoughtful, talented contributors who helped shape our culture and our business."

Real estate sales have slowed in Vancouver, dropping 24 percent in April year on year, and it was reported the other day the valuations of pre-construction condos have fallen -- which means those who put down payments a year or two ago cannot get mortgages at the previous higher valuation, but the current one.

That will result in more people being unable to afford their condos and will have to sell at fire sale prices.

Then there's the Trump factor, with the American president's indiscriminate tariffs casting a chill on thoughts of making any kind of big ticket purchases from cars to property.

And there's also AI, which makes having humans doing the same work redundant and cost-saving. 

Which is perhaps why Rennie says in the post: "The shifts we are seeing in real estate aren't temporary, they are structural. And yesterday is never coming back."

Yikes.

Chinese Tycoon Loses Big on Property Fire Sale

Chen has liquidated his HK property at very cheap prices

Another Chinese tycoon has had a fire sale -- selling nine flats in Hong Kong at over half the price he bought them.

Chen Zhuolin is the chairman of distressed mainland Chinese developer Agile Group, and he recently sold all nine luxury units in Kowloon Tong for HK$90 million -- but they had a market value of HK$213 million. 

The flats in Hamburg Villa on Eastbourne Road were sold at between 53 percent and 63 percent of the original price.

Chen owned some units on Eastbourne Road

One is a three-bedroom unit, 872 sq ft and sold for a bargain basement price of HK$8 million on November 1; he had bought it for HK$21.4 million in 2018, a 63 percent discount.

The 62-year-old Chen is in a tight financial spot; he and his wife Luk Sin-fong, through a family trust, own 58 percent of Agile, but its shares have plunged more than 90 percent in the past five years.

Luk also has a place in Repulse Bay and used it as collateral to get loans. She was hoping to secure HK$500 million...

Agile itself also owns land on Eastbourne Road as well, paying about HK$3.3 billion for two lots in 2017.

But the company failed to pay interest on a US$483 million bond that matures in May 2025.

Other uber wealthy in financial straits: the family of Ho Shung-ping, and the family of the late retail magnate Tang Shing-bor.

On the one hand, it's comeuppance for these wealthy Chinese who snapped up Hong Kong properties at jaw-dropping prices several years ago, and now they are desperately trying to liquidate at fire sale prices. The buyer who snapped up the HK$8 million got a really good deal, though as property prices continue to fall, you don't want to be the last one holding the bag...

HK's Golden Retail Era is Over

A mall with empty shops isn't a very inspiring experience

In another sign that Hong Kong's economy is floundering is to look at the retail sector, plunging to pandemic levels. Yes, not pre-pandemic but during the Covid-19 era.

Mainland visitors, who used to be the priority customers in luxury boutiques snapping up designer handbags to pharmacies for shampoo to baby formula are tightening their belts and preferring a cheaper way to visit the city.

Hong Kong's retail sales plunged 7.3 percent in the first seven months of the year compared to 2023, according to government data that was published on Friday. And that's a big drop considering there was a 52.2 percent increase in visitors during the same period.

Street-level shops are also sitting empty

Mainland visitors who stayed overnight spent HK$6,495 (US$833) per capita in 2023, while same-day visitor spending plunged 37 percent to just HK$1,383 last year.

Why? 

"The reduced spending of middle class Chinese tourists in Hong Kong can be attributed to the economic slowdown -- started by the property downturn, shift in consumption patterns, increased focus on savings due to challenging employment prospects and changing travel preferences," said Christine Li, head of research for Asia-Pacific at Knight Frank.

She says this has led to mainland visitors focused more on experiences than material goods, and there are first-timers to Hong Kong who don't have has deep pockets as previous Chinese tourists. As a result they opt for "zero-dollar" tours, where everything has been prepaid.

"They take pictures for their online accounts, but they don't spend money. They're not spending the same amount of money in shops or restaurants like they used to," observed Simon Smith, Savills' regional head of research and consultancy for Asia Pacific. "The golden era for Hong Kong's retail market is over. That's the reality."

Of the 30 shops in Heritage 1881, only 3 open

Ouch.

To make it even worse for the local retail scene, Smith says Hongkongers are rushing to Shenzhen on the weekends to take advantage of restaurants and shops at one-third of the cost in Hong Kong.

Shopping malls like Heritage 1881 in Tsim Sha Tsui are practically empty. It used to have high-end shops like Tiffany and Co, watch shops and Shanghai Tang, as well as a very expensive Japanese restaurant, but according to Bloomberg, of the 30 shop spaces, only three are occupied now.

Many analysts say it will take a long time before Hong Kong's retail industry bounces back, and when that happens how many shops will survive that long?

China Luxury Sales in Big Slump

China's slowing economy affecting global luxury brands

Another sign that China's economy is weakening further -- the sales of luxury goods continues to slump, affecting brand name companies' bottom lines by as much as US$200 billion.

Burberry and Hugo Boss have issued profit warnings, while Richemont has seen a 27 percent drop in sales in China, Macau and Hong Kong, as Chinese consumers stop shelling out for big-ticket items.

Middle-class consumers aren't spending as much

Consultancy company Bain says China accounted for 16 percent of 362 billion euros (US$393.8 billion) of global luxury spending last year.

But this year the country's economic growth in the first quarter was slowed by the property slump and job insecurity. There are no signs things will get significantly better in the second half of the year.

Bain predicts this year will be the weakest for the global luxury market since the pandemic, as China's super rich are avoiding flaunting their wealth for more discreet fashion.

That said, the uber wealthy are still happy to spend, and high-end luxury brands are benefitting, such as Hermes and Brunello Cucinelli.

In early 2023 when China finally lifted its Covid-19 restrictions, Chinese consumers went on a massive spending spree on luxury goods, but that tapered off when the property sector weakened further.

Hugo Boss, Burberry, issued profit warnings

The longer it isn't resolved, the longer the luxury sales slump will continue... and that will have a trickle down effect on other retail and hospitality sectors...

Evergrande Must Liquidate in HK

Shares in Evergrande plunged following the liquidation order

Big corporate news today -- a Hong Kong court has ordered China Evergrande, the world's most indebted property developer, to go into liquidation after it still could not restructure the over US$300 billion it owed banks and bondholders.

Judge Linda Chan approved a petition by the creditors on Monday, though the Guangzhou-based company can still appeal. A provisional liquidator was to be named later on Monday.

"The hearing has lasted for one and a half years, and the company still has not been able to bring forward a concrete restructuring proposal" to restructure its US$328 billion in liabilities, Justice Chan said in her ruling. "I think it is the time for the court to say enough is enough."

Liquidation only affects Hong Kong operations

Following the liquidation order, shares in Evergrande group plunged. Evergrande Group fell 21 percent to 16.3 cents, Evergrande New Energy Vehicle Group dropped 18 percent to 23 cents, and Evergrande Property Services Group Limited decreased 2.5 percent to 39 cents before trading in all three shares were halted.

Interestingly at the same time other Chinese developers' shares rose in Hong Kong, with Country Garden gaining 2.9 percent, and Sunac China Holdings jumping 4 percent. 

Evergrande CEO Shawn Siu told Chinese news outlet 21Jingji that the order only affects the Hong Kong-listed China Evergrande unit, and that the company feels "utmost regret" at the liquidation order.

He said Evergrande would strive to continue smooth operations and deliver properties to buyers. It has some 1,200 projects in different stages of progress, ranging from under construction to almost completed, according to its 2022 annual report.

It is unclear how the liquidation in Hong Kong will affect the company's operations in China. Lance Jiang, a partner at Ashurts LLP says the liquidators may have a challenge ahead.

Evergrande has over 1,200 projects in progress

"The market will pay close attention to what the liquidators can do after being appointed, especially whether they can achieve recognition from any of the three designated courts in the People's Republic of China under the 2021 Arrangement regarding Cooperation on Cross-border Insolvency Cases between the mainland and Hong Kong."

In any event, the provisional liquidators can now take over Evergrande's management and handle its affairs, including debt restructuring with creditors and taking control of its assets, books and records.

Creditors need to submit a proof of debt form to the liquidator, and staff of Evergrande Hong Kong can claim unpaid salaries and dues from the Protection of Wages on Insolvency Fund. 

While for many years real estate drove China's economic boom, developers borrowed heavily, leveraging projects to get more capital to the point where the total corporate, government and household debt was the equivalent of more than 300 percent of annual economic output, unusually high for a middle-income country.

The ruling in Hong Kong also shows creditors there can use the rule of law to force the company into liquidation, something which might be harder to do across the border...

Only Good News in Hong Kong

Lee tells journos to tell more good stories about Hong Kong

Chief Executive John Lee Ka-chiu is telling journalists to tell "good Hong Kong stories" to counter what he called "slanders and attacks" from the West.

He said this in Mandarin during an event held by the pro-establishment Hong Kong Federation of Journalists. During his speech Lee claimed politicians and journalists from the West were "time and again targeting Hong Kong by fabricating lies, spreading false narratives, slandering Hong Kong, and intentionally speaking of Hong Kong like a place with no freedom."

"In the face of these immoral people, Hong Kong's journalists should all the more unite, take the initiative and be professional," Lee said.

"[Journalists] should tell good stories of Hong Kong's special advantages, international business environment and captivating nature at our doorstep... to counter the slander and attacks aimed at Hong Kong," he added.

Let's see...

This week the Hang Seng Index fell below 16,000 points, well below what it was in 1997;

Property prices have fallen to its lowest in seven years;

The city's press freedom has plummeted to 140 out of 180 regions by Reporters Without Borders;

Hong Kong's birth rate is one of the lowest in the world;

But the good news:

More mainlanders are settling in Hong Kong;

It's fun to go shopping in Shenzhen;

Someone has a chance of winning HK$38 million in the Mark 6 Jackpot;

The MTR has new eight-car trains that are being put into service.

We try to tell the good news, if the government had some...

Hong Kong Property Prices Continue to Drop

HK property prices are expected to continue to fall next year

Hong Kong's property prices have had a rough ride this year, hitting a seven-year low in November following the seventh consecutive drop, according to government figures.

Figures from the Rating and Valuation Department showed the prices of private flats fell by 2 percent from October to November. Home prices were still 6.6 percent lower than the same month last year despite the removal of some property cooling measures by the government in October.

Prices of flats dropped by 5.6 percent in the first 11 months of this year, though interestingly rents.

Kennedy Town prices dropped over 12 percent

In the case of my former flat in Kennedy Town, the price fell 12.3 percent in just over two years.

However it is interesting to note rents have gone up by 0.6 percent in November to a four-year high, the 10th consecutive month of rent increases.

Next year things don't look good for property prices, says head of valuation and advisory services Hannah Jeong at Colliers Hong Kong. She expects the downward trend to continue in 2024, though the extent of the decline depends on the impact of any US interest rate cuts.

China Stops Publishing Employment Data, Outlook Grim

Job prospects for fresh grads in China are very slim

China's expectations that its economy would bounce back after all its Covid-19 restrictions were lifted did not come to fruition.

Instead the economy is sputtering, further exacerbated by massive property developer Country Garden, that may default on bank loans unless it delivers some 100 million completed apartments across the country soon. If it does not attempt to pay back its loans, it could cause China's financial outlook to fall even further.

Another concern is its recent graduates are unable to find jobs. The latest figure is that the unemployment rate for 16 to 24 year olds is now a record 21.3 percent, and it has risen each month this year.

Govt not releasing unemployment data now

It's gotten so bad that the government has announced it will not release this information anymore, causing speculation that China's economy is not doing well, and fears that kind of data could be reason enough to cause social unrest -- something Beijing deeply fears.

And young people have reason to be angry -- they have been stressed out since senior high school to prepare for the dreaded gaokao or university entrance exams. If they pass and get into tertiary education and then graduate with no job prospects, then what is the point of even going to university?

As a result many young people are "lying flat", rejecting the work ethic of working long hours, and overachieving -- for what? 

Now with less chances of finding a job after graduation, more young people will be joining the ranks of the "lying flat" cohort. That in turn has led to slowing consumption, because the unemployed won't exactly be shelling out for luxury handbags or designer clothing, let alone even attempting to buy a home.

Part of the reason for such high unemployment numbers stems from China's zero-Covid policy, interrupting students' studies for over three years, and resulting in hardly any opportunities for internships which usually lead to jobs. 

Getting a job is like winning the lottery

Competition is fierce for "iron rice bowl" jobs in the civil service. Last year a record 2.6 million people applied for only 37,100 entry-level positions. It's like trying to win the lottery.

However, there are jobs -- in construction and transportation -- which migrant workers are qualified to do, while graduates aren't willing to do these blue-collar jobs after having studied four years in an ivory tower.

Chinese leader Xi Jinping's response? "Eat bitterness". Not quite sage words of advice from Xi Baba the next generation want to hear...

Metro Vancouver's Unaffordable Housing Crisis

Vancouver housing options are shrinking fast for renters

The housing situation in Metro Vancouver is fast coming to a head with a terrible combination of rising interest rates and inflation, while salaries are not keeping up.

Before there was a lot of scorn poured on the real estate industry, with blame put on foreign buyers for jacking up property prices that made it near impossible for locals to get a foot in the door.

The City of Vancouver responded with an empty homes tax -- any home that was vacant for long periods of time the owner would be subject to a 5 percent tax of the assessed value of the property. The rate was recently reduced to 3 percent for this year.

Densifying neighbourhoods with townhouses

The empty homes tax was a bid to force property owners to not leave places vacant and open up more housing opportunities for people. There were stories of mansions were rented out to numerous students, who in turn created a mess in the home... for others it was a god send to have a decent place to live in.

But now because of rising interest rates, those homeowners with variable mortgages are suffering, and may have hoped to have a "mortgage helper" by renting out their place, but now the renter can't afford the jacked up rent and has to find another place to live.

In some cases people are "reno-evicted" -- where the landlord claims they are renovating the place and the renter has to leave, or the landlord claims they will sell the place, or it is sold, the rent is increased and unaffordable.

That leaves more people looking for somewhere to live.

This morning a local radio show opened up the phone lines to hear from renters about their situations and it sounds dire.

An example of a basement suite

One person talked about looking at a budget of C$2,500-C$3,000 for a basement suite. The caller added landlords are preferring one person or maximum two people for a two-bedroom suite, whereas she had three in her family and was ignored.

Another person said on Twitter that a few months ago in order to keep renting their current place, they had to agree to a C$300 increase otherwise the landlord would sell it.

One woman said the place she was renting was burned down in March and since then has essentially been homeless. She makes just under C$70,000 a year and cannot find a place to live. Originally she was living with her adult daughter but since they became homeless, they had to split up in the hopes of bettering their chances of getting roofs over their heads. Their senior cat is living with someone on Vancouver Island.

She said in finding a place to live she has seen more rooms available than enclosed units, and suggested some of the housing that could have been rented out is being used for air bnbs, which is illegal in Vancouver.

People with decent incomes have to throw away the rule that rent should take up 30 percent of their salary and instead spend up to 50 percent now. How can they afford their utilities, gas for their car and food and still save something in the end? Newspaper articles report many people have resorted to buying groceries on credit cards. How will they pay back these bills?

Homes like this will be scarcer in the city

Some elderly landlords rent out spaces to help with their own bills as they have small pensions, but with inflation, the rents they are charging aren't enough, while other landlords aren't even humans but real estate investments trusts or REITS, that are only out there to make as much money as possible. 

It's evident the system is broken, but how to fix it? How do we make sure everyone who needs an affordable place to live can find one? We're not even talking about home ownership -- just a roof over their heads that they can afford that is not leaving them in survival mode.

The city is trying to densify neighbourhoods and approving building permits faster, but these people need places to live now. 

At the other end of the spectrum are seniors who have lived in their homes for decades and can't understand why the municipal government is forcing them to accept six-storey condos in their neighbourhoods, or that developers can build up to six units on a plot of land next to theirs.

It's sadly a situation of the haves versus the have-nots and the inequity is becoming starker by the day...

Good Deals in HK's Luxury Property Market

Two homes on the Peak were sold for a sweet deal

Looks like the uber rich are hunting for good deals in the real estate sector.

Two mansions on the Peak located next to each other were recently sold for a whopping HK$560 million (US$71.5 million) -- about HK$200 less than the asking price.

Each over 4,000 sq ft with a pool, garden

The homes are at 11 and 13 Watford Road and they are owned by the wife of Wong Kwan, former chairman of Pearl Oriental Oil Ltd, according to Sing Tao.

Each house is 4,016 square feet with a large garden and swimming pool. They are conveniently located down the road from the German-Swiss International School and a Wellcome supermarket nearby too.

The asking price was HK$380 million each, but somehow the price was slashed by almost HK$100 million each.

As a result the luxury property market is sluggish, with rising interest rates and lack of new expats moving in that is slowing the transactions.

Will HK's real estate market be sustainable?

However, it is a bigger sign of Hong Kong's decline, according to Kevin Yam Kin-fung, a Chinese-Australian lawyer who is one of the eight with a HK$1 million bounty on his head.

"Hong Kong will not just die suddenly like someone with a massive heart attack. There are still takers for luxury properties," he wrote on Twitter.

"But the fact that demand for this and other things in HK have unceasingly trended downwards means HK is being debilitated slowly and painfully."

Who wants to be left holding the bag?

Fact of the Day: Saving Forever for a Home

The takes about 38 years to save up for a down payment

Vancouver continues to have the reputation for being the least affordable urban area in Canada when it comes to buying a home, where home buyers pay an 89.9 percent premium compared to the national urban composite.

The price of a house in Vancouver is on average C$1.59 million (HK$9.3 million) in the first quarter of 2023.

And the average household income needed to afford a home at that price is C$322,245.

Condos aren't much cheaper than homes per sq/f

Based on that income, the number of months needed to save for a down payment, at a saving rate of 10 percent is 454 months, or just under 38 years.

Condos are cheaper of course, but still relatively expensive. An average price is around C$721,230, and an annual household income of C$171,052 is needed to afford it, and will take 67 months, or just over five and a half years to save enough for a down payment.

Is it any wonder young people who don't have parents who can help with the down payment, have given up completely on home ownership and instead focused on travel or other priorities instead of being indentured mortgage slaves?

Vancouver Papers Converts Newsrooms for Lease

Vancouver Sun and The Province are published by Postmedia

Postmedia Network is a conglomerate that owns a lot of community papers across the country as well as the National Post and Financial Post. However Postmedia is not completely Canadian -- 66 percent of it is owned by American media conglomerate Chatham Asset Management.

In Vancouver it owns the Vancouver Sun and The Province, the former a broadsheet, the latter a tabloid. Media is a tough business to be in, and sounds like it's even tougher when the owner is a company that while specialises in media, does not have the passion for it.

So I don't know if readers were shocked or not surprised to find out today that Postmedia has shut down its offices and asked its staff to work from home permanently in a bid to further cut costs.

The office building is located by Canada Place

The office space they previously occupied downtown near Canada Place will be subleased, according to Harold Munro, editor-in-chief of both the Vancouver Sun and The Province.

"It's been three years since we vacated the newsrooms to work primarily from home. Initial concerns about the sudden shift quickly gave way to a pleasant realisation that all of you have the tolls and talent to thrive away from the office," his memo read.

"This is to inform you that Postmedia plans to sublease the newsroom and office space."

He said in the memo that this permanent move would not come as a surprise, as the staff had been out of the office for so long.

"You have all found new ways to communicate creatively and effectively with a level of commitment and professionalism that produces the highest quality journalism in the province."

The memo also said staff were asked to come into the office before April 21 to retrieve their personal belongings.

Last October The Vancouver Sun stopped publishing a print edition on Mondays and actively pushing readers to go online for news content. It's hard to understand as the paper, while thin, is still choc full of ads, many of them full page or even front-page wrappers that cover the front page of the paper. The newspaper also generates advertorial content for money.

The Sun doesn't have a print edition on Mondays

This latest announcement has to be demoralising for staff, and are now stuck absorbing what should be office costs at home. Some may not even have a dedicated space to do their work.

In the meantime good luck with trying to sublease the space when the Vancouver office vacancy rate has increased to about 10 percent. 

Perhaps for those who have been in Vancouver all this time the local media has been dying a slow death, but for people like me it's a shock to see it disintegrate so quickly.

So much for trying to fight disinformation and misinformation, and standing up for democracy. Pretty soon both these local papers are going the way of the Dodo bird...

Young People Want to Leave Hong Kong

Young Hongkongers want to leave

Looking at the calendar it's not April 1, but this is quite a striking headline coming from Oriental Daily.

The top headline says: "Half of all Hongkongers want to leave", and below that, "Willing to leave even if their English is poor".

The survey was conducted by the Hong Kong Association for Academic and Teaching Exchange on 503 people, most of whom were high school students.

Students feel they have no future in Hong Kong

The article says Hong Kong's poor governance and draconian anti-epidemic measures in the past three years have made people's livelihoods miserable, the economy tanking. The story adds professionals and highly-educated elites have already left the city.

Seventy-one percent of those surveyed have thought about going abroad to study, and 38 percent intended to work overseas.

While 95 percent think it's important to have good English to go abroad to work or study, 36 percent think their English is poor, 49 percent think it's average, while only 15 percent think their English is excellent.

The most common reason for wanting to leave is life pressure at 57.5 percent, followed by the political environment at 51.9 percent, the economic downturn at 31.4 percent, and lack of job opportunities at 31.2 percent.

The article quotes social sciences lecturer Chan Wai-keung of Hong Kong Polytechnic University who says with property prices so high, it affects young people's thinking about their futures. 

They are willing to leave even if English is poor

If those with good jobs need to spend a good chunk of their salary on mortgages, then those with lesser prospects feel their chances of social mobility are very slim and would rather want to try their luck elsewhere. 

This has been a common refrain for decades, but with opportunities shrinking, young people feel that even if they did work to the bone, they still wouldn't be able to own a flat... so what's the point?

The issue is particularly acute in Hong Kong, but also in many other places around the world, including Vancouver.

So while these young people hope to get a new start elsewhere, they might be shocked to find out housing prices are out of reach globally...

Year of the Rabbit Won't be a Big Leap Forward

Cute pink fluffy rabbit at Pacific Place in Admiralty

The Year of the Tiger is just about over and most people would agree to be happy to see it leave and usher in the Year of the Rabbit.

While the Rabbit is known for its politeness, and patience, it is also shrewd.

However, many Hong Kong fortune tellers don't believe the Year of the Rabbit -- a water one -- it won't be hopping into too bright of a future.

Lee and his wife sending good wishes for CNY

They believe the property market will still be weak, the economy will not completely rebound, and Covid-19 will still linger.

Things may be tough for Chief Executive John Lee Ka-chiu as he is born in the Year of the Rooster, which clashes with the rabbit. 

"His policies may face resistance or not turn out as planned," said Yunwenzi, or Master Cloud, a specialist in Qimen Dunjia, the ancient Chinese art of divination. She predicted the protests in 2019.

She advised Lee to be patient, saying: "Although society is turning more peaceful and harmonious, allowing him to push reforms more easily, it will take time to see results."

Geomancer Tong Pik-ha suggested Lee could improve his luck by going to more celebratory events. "He should travel more, perhaps go overseas to tell more good stories about Hong Kong," she said.

Chan in Davos promoting Hong Kong

Like what Financial Secretary Paul Chan Mo-po is doing, wandering the streets of Davos, Switzerland and trying to convince the Swiss to visit Hong Kong by looking at videos on his super old iPad...

Meanwhile well-known soothsayer Raymond Lo Hang-lap isn't optimistic about the year ahead.

"There is a total absence of the fire element in the Rabbit year," he said. "Fire is a symbol of happiness and positive energy. When fire is absent, there will be less drive for investment activities. There may also be setbacks in the stock market."

Sounds like a repeat of this past year...

On that note, we certainly hope things will be better in the Year of the Rabbit!

祝你i新年快乐！身体健康！心想事成！万事如意！