Hong Kong June lived-in home prices rise to 5-month high as buyers return

Hong Kong’s lived-in home prices rose to a five-month high in June, according to official data.

Second-hand home prices in the city recorded a 0.03 per cent gain in June, the third straight month of improvement, according to data from the Rating and Valuation Department on Tuesday. Since April, lived-in home prices have risen 0.63 per cent.

Meanwhile, residential rental prices climbed for the seventh straight month, bringing an official index to 195.6, the highest recorded since it hit 197.4 in September 2019. Rents are likely to increase more this month, according to Ricacorp Properties.

Hong Kong’s residential property market has been in a slump since peaking in September 2021. Home prices fell by as much as 28.4 per cent through March this year.

So far this year, second-hand home prices have fallen 0.86 per cent, according to the latest data.

The one-month Hong Kong interbank offered rate (Hibor), which is linked to mortgage loans, stayed below 1 per cent in June, which boosted homebuying activities, according to CBRE. On Tuesday, the one-month Hibor stood at 1.02 per cent, according to the Hong Kong Association of Banks.