Hong Kong home prices are expected to rise a further 5% next year as rising rents and a stronger renminbi draw mainland Chinese buyers into the market, according to a research forecast.
Hong Kong’s secondary-market home prices rose 7% in the first nine months of 2026, while the rental index climbed about 6%, data from the Rating and Valuation Department showed. Bloomberg Intelligence expects home prices to build on this year’s gains next year.
Residential sales have rebounded this year, driven by mainland Chinese buyers, after Hong Kong scrapped stamp duties on residential property transactions in February 2024.
Bloomberg reported on Tuesday (10 November) that a Bloomberg Intelligence report expects homebuying demand from mainland Chinese buyers to remain resilient in 2027, supported by a stronger renminbi and genuine demand for owner-occupied homes, despite Beijing’s stepped-up efforts to curb capital outflows.
The report said buyer demand eased in July amid concerns over tighter mainland Chinese restrictions on capital outflows and the risk of interest rate rises, but is now showing early signs of recovery.
A stronger renminbi has also boosted mainland Chinese residents’ purchasing power overseas. This month, the currency rose to a three-year high of HK$1.18 (S$0.19) per renminbi. Bloomberg Intelligence forecasts that it could strengthen to HK$1.20 next year.
Hong Kong residential rents rose nearly 4% in the first half of this year compared with the preceding six months, according to Centaline Property data. In July, Centaline forecast that residential rents could record their strongest growth since the summer of 2016, as mainland Chinese professionals and students continued to arrive and rental demand from expatriates recovered.
In July, Centaline Property forecast that Hong Kong residential rents could record their strongest growth since the summer of 2016, as mainland Chinese professionals and students continued to arrive and rental demand from expatriates recovered.
Bloomberg Intelligence said improving market sentiment had prompted major developers such as Sun Hung Kai Properties and Henderson Land Development to step up launches of new residential projects. Sales of new homes in Hong Kong jumped 21% month on month in October.
