Cushman & Wakefield: The Hong Kong residential market has emerged from the adjustment phase and is expected to see a further increase in property prices of about 5% in 2026

Deloitte's Executive Director and Head of Hong Kong Research, Deng Shuxian, stated that according to the latest data from the Rating and Valuation Department, the Hong Kong private residential price index recorded 298.6 points in December last year, marking a continuous rise for seven months, reaching a new high in a year and a half, and driving a cumulative rebound of 3.3% in property prices for the whole year of 2025, ending the year-on-year decline of the past three years. Deng Shuxian pointed out that the stabilization of property prices is mainly attributed to active market transactions and a more easing interest rate environment. With residential transaction volumes maintaining above 5,000 per month for ten consecutive months, coupled with banks lowering mortgage rates further reducing property acquisition costs, market sentiment has significantly improved. The firm believes that the residential market has emerged from the adjustment phase and is on a recovery path, expecting property prices to see around 5% growth in 2026