Li Jiage Chen Haichao: Hong Kong property prices and rents both rose, expecting a 3.5% increase in property prices and a 4.5% increase in rents for the whole year.

Ricacorp Properties' Research Director, Chen Haichao, stated that in recent months, the Hong Kong stock market and various economic data have been positive, coupled with the upcoming interest rate cut cycle, the Hong Kong property market continues to show a positive trend in both rental and property prices. He expressed optimism about the future development of property prices, expecting a 3.5% increase for the whole year, while rental prices are expected to increase by about 4.5% for the whole year. The latest data released by the Rating and Valuation Department shows that in October 2025, the Hong Kong private residential price index was 294.3 points, an increase of 0.41% from September's 293.1 points, marking the seventh consecutive month of stability or growth, with a total increase of 3.30% during this period, reaching a peak in nearly 15 months. The upward trend continued for a fifth consecutive month, with a cumulative increase of 2.72%. The property prices have increased by 1.76% in the first ten months of this year and have narrowed down to 26.07% compared to the historical high of 398.1 points in September 2021. Chen Haichao pointed out that property prices continued to rise in October this year, mainly due to the clarity of the government's housing policies in the policy address, and the interest rate cut by local banks in September, coupled with the hot sale of new properties and the improvement in tourism and economic conditions, all boosting confidence in the property market. Looking ahead to November, Chen Haichao believes that with another interest rate cut at the end of October and a consensus reached in the US-China trade negotiations, the property market atmosphere will continue to improve steadily, with continued support for property prices, expecting a nearly 2% increase in property prices in the fourth quarter and a 3.5% increase for the whole year. In terms of rental trends, the latest figures from the Rating and Valuation Department show that the rental index remained stable at 200.2 points in October 2025, unchanged from the revised index in September, in line with the earlier prediction that rents could peak in September. Currently, rents are 0.05% higher than the previous peak of 200.1 points in August 2019, setting a new record high after 73 months (or over 6 years). Looking ahead, the remaining two months of this year are relatively quiet in terms of rental demand, but with the continued demand from new immigrants, rental prices are expected to remain stable with a slight increase, with a projected increase of about 4.5% for the whole year.