Hong Kong’s sales of luxury homes more than doubled in the first quarter from a year earlier, helped by a buoyant stock market and attractively priced assets that drew the attention of wealthy investors including mainland Chinese buyers, according to analysts.
Hong Kong’s sales of luxury homes more than doubled in the first quarter from a year earlier, helped by a buoyant stock market and attractively priced assets that drew the attention of wealthy investors including mainland Chinese buyers, according to analysts.
The segment was likely to record another increase in the second quarter, they added.
“With the wealth effect from accumulated gains in the stock market over the past two years, both local and mainland Chinese capital have seized the opportunity to redeploy assets from stocks to properties, shifting a portion of their funds into the real estate market,” said Derek Chan Hoi-chiu, head of research at Ricacorp Properties.
In the first three months of the year, 64 homes worth more than HK$100 million (US$12.8 million) were sold in the city, 156 per cent higher than the 25 transactions a year earlier, according to data compiled by CBRE. The total value of these transactions also more than doubled, to about HK$11.7 billion from HK$5.43 billion in the first quarter of 2025, the consultancy said.
Affluent Hongkongers also splurged on luxury properties. Lisa Kan Chin Chin, identified as the manager of Hong Kong singer and actor Eason Chan, bought a 3,627 sq ft flat at The Corniche in Ap Lei Chau for about HK$141 million on March 27, according to official records.
In addition, lingering uncertainties over the US-Israel war on Iran were burnishing Hong Kong’s appeal as a safe haven for global capital, which was likely to further boost investment in the city’s luxury properties, Ricacorp’s Chan said.
“It is anticipated that transactions for high-end residential properties valued at HK$100 million or more will remain steady with a slight upward trend in the second quarter,” he said, estimating that about 90 new and second-hand luxury homes would change hands in the June quarter.
As of Wednesday, meanwhile, the segment had seen 12 new and lived-in luxury home sales worth about HK$3 billion so far this month, according to data compiled by Ricacorp Properties.
The demand is supported by the resilience of the Hang Seng Index, according to CBRE. As of Friday’s market close, the benchmark index was unchanged this year despite the US-Israel war on Iran rattling global markets.
Additionally, Hong Kong retained the crown as the world’s most active market for initial public offerings, with a total of 37 companies raising about US$13.26 billion on the Hong Kong stock exchange’s main board in the three months ended March 31, according to data released by LSEG Data and Analytics. That represents a 453 per cent increase from the same period in 2025.
Luxury home prices in Hong Kong fell 22 per cent between 2021 and 2025, while they rose between 1 and 60 per cent in other major global cities such as London, New York, Singapore and Tokyo, according to Savills.
“More trophy-grade deals are resurfacing, signalling revived confidence and a greater willingness to transact at current price levels,” said Eddie Kwok, executive director for valuation and advisory services at CBRE Hong Kong. “With both prices and transaction volumes stabilising, the market appears to be bottoming out, supported by improving liquidity and renewed top-end buyer appetite.”
Among the more notable deals registered this year, a 5,577 sq ft luxury flat at The Legacy in Mid-Levels West went for HK$422.9 million and a 4,101 sq ft house at Repulse Bay Road sold for HK$372.9 million, both in January. In March, a 3,173 sq ft penthouse at the Ultima in Ho Man Tin set a record for price per square foot in the project, at HK$68,029, according to CBRE.
A 2.25 per cent stamp duty hike for luxury properties worth more than HK$100 million, announced in February, had limited impact, CBRE’s Kwok said.
“For the second-hand market, more company transfers are expected, while for the primary market, developers will offer more discounts or rebates to offset the increment,” Kwok said. “In fact, market sentiment, stock market performance and interest rate movement expectations are more important in the luxury market.”
Source: SCMP
