The HK Bubble

Thanks to easy credit becos of the HK dollar peg, and money from China pouring out, HK is seeing the kind of asset bubble better associated with pre-Lehman Brothers. Rents are back to peak levels when employment is still weak, and property prices have rocketed. $3 million for a 500 square feet apartment, anybody?

What it means for us though is that the apartment above us got bought and the owner went for a 3-month renovation. Yup, you read right. 3 months of noise and dust. U can build a house in three months in Australia, or renovate 3 apartments in Singapore. HK with its smaller apartments seem to suffer from a lack of skilled workers able to get work done quickly and effectively.

In the first week, the workers burnt so much incense and paper money, we had ash drifting into our kitchen. In the second week, they destroyed a pipe, and led to massive flooding. Our ceiling dripped. In the third week, they left windows opened during a typhoon so all of us could hear the windows slam every 5 minutes and wonder when they will break and shatter.

All this while they create a lot of noise. We asked that they try to have lunch and do quieter work between 1-3 pm so the kids could sleep, and do the noisy stuff in the morning when Siyuan is at school. They said yes, and proceeded to do no work in the morning and start work when the kids are sleeping.

Three months. Amazing.