HONG KONG – Home sales in Hong Kong registered a four-month high in April, with the city’s property market showing signs of continuous revival despite uncertainties over interest rates and conflict in the Middle East.

The Land Registry logged 8,692 sale and purchase agreements received for registration for all building units last month, a rise of 12.3 percent compared with the previous month and up 20.2 percent year-on-year.

The total consideration for building unit sale and purchase agreements in April rose 17 percent from March to HK$72.9 billion ($9.3 billion) in a 45.5 percent year-on-year increase.

Of the agreements, total 7,368 were for residential units, up 16.7 percent from the previous month and up 29.4 percent from a year ago, the Land Registry said in a statement.

Meanwhile, the total consideration for residential units was HK$63.7 billion, an increase of 15.4 percent compared with the previous month and 50.9 percent year-on-year.

RELATED ARTICLES

• HK property shares rally as Morgan Stanley feeds optimism
• Macro backdrop seen to buoy Hong Kong realty market
• Hong Kong's housing market on a sound footing again
• HK home prices post 1st annual rise in 4 years

The number of searches of land registers made by the public last month was 419,404, down 7.2 percent compared with March but up 13.8 percent compared with April 2025.

The rebound in Hong Kong’s property market comes with a rise in rents and home prices and a significant interest in new developments coming to the market.

US investment bank Morgan Stanley raised its estimate for growth in the city’s home prices to 12 percent this year from 10 percent, and expects another 5 percent rise in 2027.

“We have turned more bullish, driven by strong sell-through, rising average selling prices at subsequent launched phases, declining inventory levels, and falling land supply,” analysts led by Praveen K Choudhary wrote in a note.

The bank’s analysts have also turned more positive on the office and retail segments, with better-than-expected recovery seen in fundamentals, according to the note.

However, the city’s monetary authorities have urged the public to carefully make a property purchase decision given the increased uncertainty and rising inflationary concerns due to the Middle East conflict.

“The public should carefully manage interest rate risks when making decisions about property purchase, investment or borrowing,” the Hong Kong Monetary Authority said in a statement on April 30, when it decided to hold its base interest rate steady at 4 percent after the US Federal Reserve left its rates unchanged.