For many mainland Chinese buyers planning to purchase property in Hong Kong, the property price is only the beginning. What truly impacts budgeting and financial planning is the complete structure of visible — and often overlooked — purchasing costs.
Based on the latest 2026 market trends and policy updates, this guide provides a comprehensive breakdown of all major costs involved in buying property in Hong Kong, from signing the agreement to handover.
01 Why Buy Property in Hong Kong Now?
1. Favorable Policies: Extra Stamp Duty for Non-Permanent Residents Removed
Mainland buyers now enjoy the same tax rates and requirements as local Hong Kong buyers, without the additional 15%–30% buyer taxes previously imposed on non-residents, significantly reducing acquisition costs.
2. Property Market Has Bottomed Out and Recovery Is Underway
Centaline founder Shih Wing-ching stated that Hong Kong’s property market has likely reached its bottom, with a projected six-year upward cycle from 2025–2031. Several international investment banks also forecast residential price growth of 5%–15% in 2026.
3. Lower Interest Rates + High Mortgage Ratios Available for Mainland Buyers
Buyers may obtain up to 70% mortgage financing with loan tenures of up to 30 years. Current mortgage rates are around 3.25%. Banks generally accept mainland income proof, bank statements, and asset documentation, with flexible approval options available even for buyers with limited income records.
4. A Global Prime City with Strong Asset Preservation
Hong Kong ranks among the world’s leading cities in economic freedom, business environment, offshore RMB activity, and air cargo throughput. Property values remain resilient, while rental yields are relatively stable, making Hong Kong real estate a globally recognized defensive asset.
5. Stable Rental Returns and Strong Leasing Demand
With world-class universities and continuous talent inflows, demand for student housing and residential rentals remains strong. Centaline’s heavy investment into student accommodation also reflects long-term supply shortages in the rental market.
02 Property Price + Down Payment (Core Acquisition Costs)
1. Property Price (Transaction Price)
2. Mortgage Ratio (Very Important)
According to mortgage policies as of 2026:
All property types + all buyer categories → maximum mortgage ratio unified at 70%
This includes:
Residential properties / commercial units / parking spaces
Owner-occupiers / rental investors / investment buyers
First-time buyers / multiple-property owners / second-home buyers
Individual ownership / corporate ownership
Hong Kong / mainland / overseas income sources
Income-based or asset-based approvals
For new launch properties, the official price is stated in the sales contract, but actual payment obligations depend on the payment schedule agreed upon after signing the provisional agreement.
03 Stamp Duty (Government-Mandated Costs)
According to the 2026 Budget and Inland Revenue Department guidelines, residential stamp duty follows a progressive ad valorem tax structure.
For example, for a HKD 4 million residential property:
Higher-priced properties face significantly higher stamp duties:
HKD 9 million → approximately 3% or above
HKD 20 million → 3.75% + 10% on the excess portion
Applicable stamp duty for lower tax bands may be as low as HKD 100.
Practical Tip:
Always use the official Inland Revenue Department calculator for estimation before purchase.
04 Legal Fees, Miscellaneous Costs & New Development Charges
05 Agency Commission (Varies by Transaction Type)
Primary Market Properties (Highly Buyer-Friendly)
Buyer: 0% commission
Commission paid by developer
Secondary Market Properties
Buyer: 1%
Seller: 1%
Leasing Transactions (For Reference)
Landlord and tenant typically each pay half a month’s rent as commission.
06 Holding Costs
(Fixed monthly or quarterly expenses after purchase)
This is one of the most commonly overlooked areas among mainland buyers.
1. Management Fees
New developments: generally from HKD 5 per sq ft
Luxury developments: HKD 7 per sq ft or higher
Charged from the date of handover, even if the property remains vacant
2. Rates & Government Rent
Rates: charged based on the “rateable rental value”
Government rent: applicable to New Territories land, New Kowloon land, and land granted after 1985
Usually payable quarterly by the owner, including rented properties
⚠️ These are long-term cash flow expenses and should never be ignored.
07 Key Mortgage Preparation Costs for Mainland Buyers
For mainland Chinese buyers, Top Talent Pass holders, professionals, or visa talents, banks generally require:
Identification documents
Provisional agreement / sale and purchase agreement
Proof of address (within 3 months)
Income proof:
3–6 months bank statements
Tax payment records
Employment letter / employment contract
Professional qualifications (if applicable)
If income documentation is insufficient:
Asset-based approval may be considered, including deposits, stocks, funds, insurance policies, and Hong Kong properties.
08 The Real Cost Structure of Buying Property in Hong Kong
(For Mainland Buyers)
09 Six Important Considerations for Mainland Buyers
1. Mortgage tenure is affected by property age and borrower age
Maximum tenure is generally 30 years. Banks apply age-plus-property-age limits, and the shorter tenure will prevail.
2. Banks lend based on the lower of valuation or purchase price
The bank may reassess the property value independently, so buyers should prepare additional financial buffers.
3. Early repayment penalties may apply
Common penalty structures are 3%, 2%, and 1% over the first three years respectively.
4. Ongoing holding costs matter
Management fees, rates, and government rent should all be included when calculating total ownership cash flow.
5. Mainland documentation should be prepared in advance
Including ID documents, travel permits, address proof, bank statements, tax records, employment certificates, and business licenses or audited accounts for self-employed applicants.
6. Hong Kong’s property market has clearly entered a more active recovery phase during 2025–2026, with stronger transaction volumes, stabilizing prices, and increasingly positive institutional outlooks.
Truly rational buyers focus not only on property prices, but also on understanding the full cost structure before entering the market.
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