Hong Kong primary residential sales jump 22% to 20,540 units in 2025

Mainland buyers accounted for 13,800 deals.

Investor sentiment across Hong Kong’s property market improved in Q4 2025, supported by successive interest rate cuts, a stronger stock market and easing US–China trade tensions, according to Savills.

Savills noted that the residential sector remained resilient, with lower mortgage costs and renewed developer confidence spurring active project launches, generally with only modest discounts. Primary sales rose to 20,540 units in 2025, up 22% from 16,900 in 2024, while total transactions reached 62,800.

Mainland Chinese buyers played a significant role, accounting for 13,800 transactions—the highest level since 1995—highlighting sustained cross-border demand, Savills said.

The super-luxury segment continued to perform strongly, with landmark deals at developments such as Dukes Place, One Stanley and Twelve Peaks, alongside steady take-up at The Legacy. Savills attributed much of this demand to first-time Mainland entrepreneurs from the technology and healthcare sectors targeting prime residential areas.

In the non-residential market, activity also accelerated. Savills reported that transactions above HK$50 million totalled HK$47.1 billion in 2025, up 7% year-on-year, with offices accounting for 68% of investment volume. End-users dominated, making up 53% of deals, including major acquisitions by companies such as JD.com, Alibaba and HKEX.

Industrial investment remained selective, representing about 10% of total transaction value, with pricing typically ranging between HK$2,100 and HK$3,000 per sq ft, according to Savills.

Meanwhile, hotels attracted interest for student housing conversions, while retail podium assets traded at yields of 5% to 7% as investors priced in ongoing demand uncertainty, particularly outside core districts.

Looking ahead, Savills expects capital deployment to remain focused on selective, conviction-driven opportunities, supported by moderating supply and the likelihood of further interest rate easing in early 2026.