Hongkongers remortgage to invest overseas

Hongkongers are remortgaging their homes to buy foreign property while inquiries about immigrating to the United Kingdom have surged about 50 percent, according to Midland Immigration Consultancy.

After the pandemic broke at the start of the year, immigration inquiries fell to double digits and had been hovering at low levels, Midland director of strategy Tina Cheng Tin-yan said.

However, due to political events and easier immigration requirements for BNO passport holders, the number of inquiries soared to more than 800 in May, she said.

Cheng said that the immigration threshold in the UK is the lowest compared with Australia and Canada. Locals with BNO passports can also apply for instant immigration without spending time in the country to acquire residency.

The Asian region, which was originally welcomed by Hong Kong people, has seen a drop of 27 percent, Cheng said.

Taiwan, which shares a similar language and culture to Hong Kong and has a relatively low immigration cost, has attracted a number of young adults and the elderly.

However, after Australia and Canada eased the immigration requirements, the younger generation, especially those who have a higher education background, may intend to switch to the two countries.

In Europe, Portugal is canceling the arrangement of immigration to major cities such as Lisbon and Porto through the purchase of real estate and many people have been rushing to use this policy before it ends. Turkey has also become a new choice due to its low threshold in capital requirement and simple procedures, Cheng said, adding that investors can get a Turkey passport in as little as three months.

Cheng said Hongkongers have tended to favor "passport immigration," preferring to apply for an additional citizenship but not to live in a new country.

For example, most retirees and professionals would prefer getting a European passport through investment instead of entirely giving up their income and life in Hong Kong.

But with citizens gradually becoming more polarized on political issues, Cheng said there are more and more people willing to spend time rather than money in a foreign country to obtain citizenship and start new lives there.