Knight Frank: Property price increases in Hong Kong will slow down in the second half of the year, and property prices are expected to rise 8%-10% throughout the year

The Zhitong Finance App learned that Fang Yaoming, head of the valuation and consulting department at Knight Frank Greater China, said that according to the latest data released by the Hong Kong Rating and Property Valuation Department, residential property prices rose 0.3% month-on-month in June 2026, continuing the upward trend in May. However, mainland China's newly introduced overseas investment regulation measures may have a certain impact on market sentiment in the short term. As optimism driven by active market trading in the first half of the year gradually returns to rationality, looking ahead to the second half of 2026, the increase in property prices in Hong Kong is expected to slow down, and property prices are expected to rise by 8% to 10% throughout the year.

In the rental market, rent growth continues to accelerate. Following a 0.5% increase in May, average residential rents rose 0.9% month-on-month in June, with a cumulative increase of 2.6% from the beginning of the year, mainly supported by housing demand driven by young mainland professionals coming to Hong Kong for employment. The rental performance of traditional luxury housing districts has also remained steady. Owners are generally optimistic about the future market, driving rents to continue to rise. As the peak rental season begins, it is expected that new properties with convenient transportation in urban areas and residential properties near university campuses will continue to be sought after by tenants. Rental demand will remain active, and residential rents will rise by 5%-8% throughout the year.