Hong Kong’s home prices climb for ninth straight month in February

[HONG KONG] Hong Kong home prices climbed 1.6 per cent in February from January, after a revised 1 per cent rise in the previous month, data from the Rating and Valuation Department showed on Friday (Mar 27).

Realtors projected that prices will rise 3 to 10 per cent this year, while brokerage analysts forecast gains of at least 10 per cent, citing a resilient stock market, strong demand from mainland Chinese buyers and lower inventory.

Demand for home buying in Hong Kong, among the world’s least affordable cities, improved in the past couple years partly due to softening interest rates.

“However, if the (Middle East) situation persists and oil prices continue to rise, thereby fuelling inflation and leading to an upward turn in interest rates, it would have a negative effect on the local property market,” said Eddie Kwok, executive director, CBRE.

Residential prices in the financial city climbed 3.6 per cent in 2025, the first increase since they peaked in 2021.

Prices have tumbled nearly 30 per cent over the past five years, weighed down by higher mortgage rates, subdued economic prospects and reduced demand as strict Covid-19 policies and national security laws prompted an exodus of professionals. REUTERS