Hong Kong: Still Pricey, Slightly Panicked, and Forever Prime
May 2025 Edition | One Global Tea
Hong Kong remains one of the world’s most expensive cities for luxury real estate, but even the crown jewels get a polish—or in this case, a price adjustment. While the broader market has spent the past year sighing deeply into its spreadsheets, the luxury segment is doing what it does best: holding steady in silk-lined, sea-view penthouses.
Luxury Market: A Correction, Not a Collapse
Let’s call it what it is: a reality check wrapped in lacquer and skyline views.
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The average price per square meter sits at a towering $26,300,
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Which translates to $2,444 per square foot—still casually outpacing most cities’ wildest dreams.
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Yes, prices have dipped—7.2% in 2024 alone—but high-end homes are still commanding serious numbers.
Some properties in prime districts like The Peak and Mid-Levels have sold at discounts up to 45% from their pandemic-era highs—which, in Hong Kong, just means you’re getting a yacht with your apartment instead of a garage.
Annual Growth (Or Lack Thereof): A Market in Slow Motion
Luxury price growth in Hong Kong from 2020 to 2024 looked more like a drama series than a finance chart:
|
Year |
Growth Rate |
|
2020 |
-3.2% |
|
2021 |
+1.0% |
|
2022 |
-6.8% |
|
2023 |
-4.5% |
|
2024 |
-7.2% |
Not exactly a joyride—but it’s still Hong Kong, where price per square foot rivals Manhattan and Monaco, even on a bad day.
Who’s Buying (and Why)?
Despite the softening, demand hasn’t vanished—it’s just gotten… more selective.
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Ultra-high-net-worth individuals (UHNWIs) are still scooping up trophy assets, especially those with ocean views and international cachet.
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Mainland Chinese buyers and local tycoons dominate the buyer pool, favoring hard assets in uncertain times.
166 ultra-luxury sales were recorded in 2024, signaling that while the volume may be down, the appetite remains—especially when sellers are suddenly motivated.
The Forecast: Tepid but Tenacious
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Expect a flat-to-modestly-upward trajectory in 2025.
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Regulatory headwinds and rising interest rates are real, but so is the persistent allure of Hong Kong as a global financial, cultural, and culinary capital.
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And with limited prime land available, demand will likely remain sticky at the top of the market.
Final Sip
In short: Hong Kong luxury real estate may be down—but it’s definitely not out. In fact, this might be the most affordable moment in years to make a play in one of the world’s most iconic, hyper-dense, investment-grade playgrounds.
For investors with a sharp eye and an even sharper pen, this is where opportunity meets altitude.
—
The One Global Advisory Team
Still charting the world’s finest markets—one penthouse at a time.
