--- title: "BOCOM INTL: Expects Hong Kong residential property prices to rise by over 10%, with a chance to return to previous highs within 2-3 years" type: "News" locale: "en" url: "https://longbridge.com/en/news/289405622.md" description: "BOCOM INTL released a research report stating that the recovery of Hong Kong's real estate is coming, seeking Alpha amidst differentiation. The bank expects the transaction volume of primary residential properties to challenge a 13-year high, predicting that residential property prices may rise by over 10% for the year, with a chance of returning to previous highs within 2-3 years. It is anticipated that rental prices in core office areas (Central/ Tsim Sha Tsui) will increase by 5-15% this year, while non-core areas will remain stable. Meanwhile, the recent significant improvement in the retail market could drive positive rental renewals for retail properties in the next two years. The bank maintains a leading rating for the Hong Kong real estate sector, with expectations of profit margin expansion likely to drive upward revisions in earnings forecasts, indicating further valuation upside for the sector. It is optimistic about the leading local property developer SHK PPT, maintaining a buy rating. As for mainland real estate, BOCOM INTL states that the industry continues to bottom out under ongoing policy intensification. Looking ahead to the second half of the year, the decline in new home market sales is gradually narrowing, and the inventory inflection point brings hope; at the same time, some first-tier and key cities are showing price inflection points, and second-hand housing prices may be bottoming out. The bank is optimistic about leading developers with low valuations and land reserves in first/second-tier cities, including CHINA RES LAND (01109/buy) and YUEXIU PROPERTY (00123/buy)" datetime: "2026-06-11T03:20:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/289405622.md) - [en](https://longbridge.com/en/news/289405622.md) - [zh-HK](https://longbridge.com/zh-HK/news/289405622.md) --- # BOCOM INTL: Expects Hong Kong residential property prices to rise by over 10%, with a chance to return to previous highs within 2-3 years According to the Zhitong Finance APP, BOCOM INTL has released a research report stating that the recovery of the Hong Kong real estate market is coming, seeking Alpha amidst differentiation. The bank expects that the transaction volume of new residential properties may challenge a 13-year high, with residential property prices expected to rise by more than 10% for the year, and there is a chance to return to previous highs within 2-3 years. It is anticipated that rental prices in core office areas (Central/ Tsim Sha Tsui) will increase by 5-15% this year, while non-core areas will remain stable. Meanwhile, the recent significant improvement in the retail market could drive positive rental growth for retail properties in the next two years. The bank maintains a leading rating for the Hong Kong real estate sector, with expectations of margin expansion likely to drive upward revisions in profit forecasts, indicating further valuation upside for the sector. It is optimistic about the leading local property developer SHK PPT (00016) and maintains a buy rating. As for the mainland real estate market, BOCOM INTL states that the industry continues to bottom out under ongoing policy support. Looking ahead to the second half of the year, the decline in new home sales is gradually narrowing, and the inventory inflection point brings hope; at the same time, some first-tier and key cities are showing price inflection points, and second-hand housing prices may be bottoming out. The bank is optimistic about leading developers with low valuations and land reserves in first/second-tier cities, including CHINA RES LAND (01109/buy) and YUEXIU PROPERTY (00123/buy) ### Related Stocks - [00016.HK](https://longbridge.com/en/quote/00016.HK.md) - [03329.HK](https://longbridge.com/en/quote/03329.HK.md) - [01109.HK](https://longbridge.com/en/quote/01109.HK.md) - [00123.HK](https://longbridge.com/en/quote/00123.HK.md) - [80016.HK](https://longbridge.com/en/quote/80016.HK.md) ## Related News & Research - [Yuexiu Property Secures HK$550 Million Revolving Loan Tied to Controlling Shareholder’s Stake](https://longbridge.com/en/news/290843072.md) - [BOCOM International provides up to US$ 3 million loan in US$ 365.94 million vessel refinancing facility](https://longbridge.com/en/news/290926605.md) - [Genesta analysis flags Stockholm residential investment openings in regulated rental market](https://longbridge.com/en/news/290663338.md) - [NORCO: 7% organic growth and 12.9% EBITA margin highlight strong Q1 2026 performance](https://longbridge.com/en/news/290962775.md) - [Wealthspire’s Mike LaMena: Unlocking premium RIA valuations](https://longbridge.com/en/news/290602585.md)