(Published by http://portal3auat.hktdc.com, May 2013) Financial services specialist Leland L Sun, Managing Director and founder of Pan Asian Mortgage, has built a flourishing business on two of Hong Kong’s pillar industries: financial services and real estate. Moving from California to Hong Kong in 1993 to work with Goldman Sachs, he started Pan Asian Mortgage in 2000. The firm’s initial focus was to help clients refinance their mortgages. “These borrowers had purchased residential properties in the mid-1990s, the market peak, only to see the value of their homes decline by 70 per cent from 1997 to 2003,” Mr Sun said.
For residential properties valued at $20 million or more, the LTV ratio will be capped at 60%. For properties valued at below $20 million, the 70% LTV ratio will be maintained, but the maximum loan amount will be capped at $12 million. Revision to the Mortgage Insurance Programme The HKMC has decided to implement the following changes to the insurance eligibility criteria under MIP: for mortgage loans with MIP coverage from over 70% to 90% loan-to-value (LTV) ratio, the maximum mortgage loan size will be lowered to HK$12 million; for mortgage loans with MIP coverage from over 70% to 95% LTV ratio, the maximum mortgage loan size will be lowered to HK$6 million; and for mortgage loans with MIP coverage from over 60% to 90%, the maximum mortgage loan size will also be lowered to HK$6 million.