The number of residential mortgage loans in negative equity fell a further 400 cases to about 8,800 in the second quarter, with an aggregate value of $15 billion, the Monetary Authority says.

Compared with the peak of about 106,000 cases at end-June 2003, the number has fallen 92%.

The estimated unsecured portion of these loans was little changed at $2 billion. Correspondingly, the loan-to-value ratio of negative equity residential mortgage loans remained unchanged at 113%.