Hong Kong home supply to top 30,000 units in 2026, Ricacorp says

Hong Kong’s primary residential market could see more than 30,000 units of potential supply next year, combining new project launches and unsold inventory, as developers accelerate sales in response to resilient demand, property agency Ricacorp said.

Buoyant first-hand home transactions this year, driven by developers pricing new projects close to market levels, are likely to reach about 19,900 deals for the full year, said Ricacorp Properties head of research Derek Chan Hoi-chiu.

Developers are expected to capitalise on the momentum by stepping up launches next year, with more than 18,000 units coming from brand-new projects, while the timing of releases will hinge on market conditions, he said.

Unsold stock has declined to about 20,000 units, and Chan said developers are likely to pursue a dual approach next year by marketing both new projects and existing inventory.

He noted that many of the remaining units are completed homes, allowing buyers to purchase and lease them out immediately, a feature that could be attractive to investment-oriented buyers.

Looking ahead, Chan said an improving economic backdrop and a low interest rate environment should support a faster rise in home prices next year. He forecast overall residential prices to climb about 7 percent in 2026, with small- to mid-sized homes rising 6 to 8 percent, while luxury properties are expected to catch up, potentially gaining around 8 percent, aided by a stronger equity market.