Buying your first home in Hong Kong takes more than finding the right flat. This first-time home buyer guide shows you how much cash you really need, what stamp duty you will pay under the 2026 rates, and how the 90% mortgage route works, so you can set a budget you can live with.
These are the current limits, not promises. A bank may lend less after looking at your income, other debts, age, the property type and its valuation.
How much cash do you need for a first home in Hong Kong?
Start with the cash you can commit without draining your emergency fund. Your upfront costs include the down payment, stamp duty, legal fees, valuation and mortgage charges, the mortgage insurance premium if you use it, plus renovation, furniture and moving. Our affordability calculator shows how much home your income supports.
The down payment (also called the deposit) is usually the largest single item. With a standard 70% mortgage you fund the other 30% yourself. With mortgage insurance, an eligible first-time buyer can put down as little as 10% on a home priced up to HK$10 million.
One-off costs vs recurring costs
One-off costs: stamp duty, legal fees, valuation, mortgage documentation, mortgage insurance premium and agency commission.
Recurring costs: mortgage repayments, management fees, government rates and rent, insurance, utilities and repairs.
Cash-flow buffer: keep several months of living expenses in reserve for a rate rise or a change in household income.
Do not judge affordability on today’s monthly repayment alone. Ask the lender to show the repayment at a higher interest rate, and test the budget on one income if your household relies on two.
Worked example: a HK$6 million flat
On a HK$6 million flat, stamp duty is HK$135,000. With a 90% insured mortgage the down payment is HK$600,000, so you need about HK$735,000 before fees and the insurance premium. Without insurance the down payment is HK$1.8 million. Use the mortgage repayment calculator to see the monthly repayment for your price and rate.
How much stamp duty does a first-time buyer pay in Hong Kong in 2026?
Every residential purchase pays ad valorem stamp duty (AVD) on the price or the market value, whichever is higher. Since 28 February 2024 all buyers pay the same standard rates, known as Scale 2. From 26 February 2026 the only change is a higher 6.5% rate for homes above HK$100 million, announced in the 2026-27 Budget. The full band table is published by the Inland Revenue Department and on GovHK.
Scale 2 stamp duty for typical first-home prices
Purchase price | Stamp duty (Scale 2) | 10% down payment with mortgage insurance | 30% down payment without insurance |
|---|---|---|---|
HK$4,000,000 | HK$100 | HK$400,000 | HK$1,200,000 |
HK$5,000,000 | HK$112,500 | HK$500,000 | HK$1,500,000 |
HK$6,000,000 | HK$135,000 | HK$600,000 | HK$1,800,000 |
HK$8,000,000 | HK$240,000 | HK$800,000 | HK$2,400,000 |
HK$10,000,000 | HK$370,000 | HK$1,000,000 | HK$3,000,000 |
Between the bands shown, the duty steps up gradually (for example HK$100 plus 20% of the amount above HK$4,000,000 until it reaches 1.5%). Above HK$10.08 million the rate is 3.75%, rising to 4.25% above HK$21.74 million and 6.5% above HK$100 million. Legal fees, agency commission and the mortgage insurance premium are extra.
What first-time buyer status changes, and what it does not
Stamp duty is the same for every residential buyer in Hong Kong. Being a first-time buyer does not lower it, and neither permanent-resident status nor owning another flat raises it: the extra duties for non-residents and second homes were abolished on 28 February 2024. What first-time status changes is your mortgage. Eligible first-time buyers can borrow up to 90% under the Mortgage Insurance Programme, and may qualify for subsidised housing schemes.
Stamp duty is due within 30 days of signing the agreement for sale. Your solicitor normally handles the stamping, but you remain responsible for paying the right amount on time.
How much can a first-time buyer borrow: 70%, 80% or 90%?
Without mortgage insurance, the Hong Kong Monetary Authority caps a residential mortgage at 70% of the price or valuation, whichever is lower, with total debt repayments limited to 50% of monthly income. These limits were checked on 15 September 2026. Individual banks may be stricter, and some properties or borrowers will be offered less.
The Mortgage Insurance Programme: the 90% route
The Mortgage Insurance Programme, run by the Hong Kong Mortgage Corporation (HKMC), insures the part of the loan above 70% so that a bank can lend more. You pay a one-off premium, which can be added to the loan.
Property value | Maximum loan | Minimum down payment |
|---|---|---|
Up to HK$10 million | Up to 90%* | 10% |
Above HK$10 million and below HK$11.25 million | Up to 90%*, loan capped at HK$9 million | 10% to 20% |
HK$11.25 million to HK$15 million | 80% | 20% |
*The 90% tier requires that no applicant owns a residential property in Hong Kong at the time of application, that all applicants are regular salaried employees, and that total debt repayments do not exceed 50% of income. Other applicants are limited to 80%. Source: HKMC, checked on 15 September 2026. | ||
Looking in the 90% range?
Homes priced up to HK$10 million qualify for the highest insured loan. Browse what is on the market now.
What lenders will ask for
Get an indicative assessment before you make an offer. It is not a formal approval, but it sets a realistic price ceiling and flags problems early, such as a probation period, variable income, existing loans or credit-card balances. Have these ready:
Recent salary records, employment details and bank statements.
Evidence of bonuses, commission or self-employed income, for the period the lender requires.
Details of credit cards, personal loans, student loans and other monthly commitments.
Proof of the down payment and where the money came from.
Property details, including saleable area, building age and condition, and anything that could affect the valuation.
Compare the whole mortgage package, not the headline rate
Look beyond the advertised rate. Compare whether the rate tracks HIBOR (an H-plan) or the bank’s prime rate (a P-plan), the capped or promotional period, cash rebate, lock-in period, early repayment charge, and the conditions attached to any rebate. A slightly lower starting rate is not a better deal if the lock-in or repayment terms are restrictive. Read more in our answer to what is the maximum loan I can take out.
Ask whether the bank lends against the purchase price or its own valuation. If the valuation comes in below the agreed price, the loan is calculated on the lower figure and you must find the difference in cash.
A step-by-step first-home buying process
Confirm your cash position
Add up the down payment, stamp duty, professional fees, renovation allowance and emergency reserve before you set a maximum price.
Get mortgage indications
Speak to more than one lender or a qualified mortgage adviser, and ask for the assumptions behind each estimate.
Shortlist by total cost
Compare buildings on management fees, maintenance outlook, transport, schools where relevant and likely resale demand, not only the asking price.
Check the property and documents
Use our property viewing checklist and inspection tips, then review the valuation, title, unauthorised works, management records, government orders and any tenancy with your solicitor.
Confirm the stamp duty before signing
Ask your solicitor to calculate the duty at the current rates and explain the deadline, and make sure your down payment and completion funds are in place.
Common mistakes first-time buyers make
- Putting every available dollar into the down payment and leaving nothing for repairs or a gap in income.
- Treating a preliminary mortgage estimate as a formal approval.
- Forgetting that a lower bank valuation increases the cash you must contribute.
- Comparing interest rates without checking lock-in periods, rebates and early repayment charges.
- Relying on an old stamp duty calculation after the rates have changed.
Final checks before you sign
Before signing a provisional agreement for sale and purchase, confirm the total cash required, the mortgage assumptions, the stamp duty estimate, the completion date and the professional fees. Check the building’s condition and management record, and whether the flat will still suit you in five years. A good agent will walk you through each step; see how to get more from your property agent. Buying from overseas? Read can foreigners buy property in Hong Kong.
First-time buyer FAQ
Do first-time buyers pay less stamp duty in Hong Kong?
No. Since 2024 every residential buyer pays the same Scale 2 rates. Duty is only HK$100 on a home priced up to HK$4 million, then rises with the price.
What is the minimum down payment for a first home?
10% on a home priced up to HK$10 million, if you qualify for a 90% loan under the Mortgage Insurance Programme. Without insurance, banks lend at most 70%, so the down payment is 30%.
How much stamp duty do I pay on a HK$6 million flat?
HK$135,000, which is 2.25% of the price at the 2026 Scale 2 rates.
Do non-permanent residents pay extra stamp duty?
Not since 28 February 2024, when the Buyer’s Stamp Duty and the other extra duties were abolished. Non-residents pay the same Scale 2 rates.
Who pays the 6.5% stamp duty rate?
Only buyers of homes priced above HK$100 million, from 26 February 2026. It does not affect typical first-home prices.
When is stamp duty due?
Within 30 days of signing the agreement for sale. Your solicitor arranges the stamping as part of the conveyancing.
Stamp duty rates, mortgage rules and insurance terms can change, and eligibility depends on the transaction date, the property and the buyer. Figures in this guide were checked on 15 September 2026. Confirm the applicable rate and loan terms with your solicitor and lender before you sign.
Sources: IRD, ad valorem stamp duty · GovHK, stamp duty rates · 2026-27 Budget tax measures · Abolition of demand-side management measures, 28 February 2024 · HKMA mortgage measures, 16 October 2024 · HKMC Mortgage Insurance Programme
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