Meridians: Hong Kong mortgage rates for newly built properties in July decreased by over 15%, while mortgage rates for pre-sale properties increased by over 40%, reaching a 13-month high.

According to the latest data from the mReferral Mortgage Brokerage Services Referral Research Department and the Land Registry, in July 2025, the number of completed property mortgage transactions in Hong Kong was 5702, a decrease of 1070 transactions (15.8%) from 6772 in June, after two consecutive months of increase; while the number of pre-sale property mortgage transactions in that month was 804, an increase of 240 transactions (42.6%) from 564 in June, also marking a two-month consecutive increase and hitting a 13-month high. Compared to the same period last year, the number of completed property mortgage transactions in July 2025 decreased by 239 transactions (4%) from 5941 in July 2024; while the number of pre-sale property mortgage transactions increased by 246 transactions (44.1%) from 558 in July 2024. In the first 7 months of 2025 compared to the same period last year, the number of completed property mortgage transactions in the first 7 months of this year was 34,587, an increase of 4116 transactions or 13.5% from 30,471 in the same period last year. The number of pre-sale property mortgage transactions in the first 7 months of this year was 3993, an increase of 1782 transactions or 80.6% from 2211 in the same period last year, hitting a nearly 5-year high for the first 7 months. Cao Deming, Vice President of Referral Mortgage Brokerage Services, stated that the significant increase in pre-sale property mortgage transactions in July was mainly driven by new developments such as Langham Peak, South Point, and Shang Ran. With interest rates still at low levels and property prices picking up, the overall market sentiment is expected to continue to strengthen in the second half of the year, with both completed property and pre-sale property mortgage transactions maintaining positive growth. In terms of market share for completed properties, Bank of China Hong Kong (02388) ranked first with a market share of 29.1%; HSBC Bank ranked second with a market share of 21.3%; Hang Seng Bank (00011) ranked third with a market share of 12.6%; Standard Chartered Bank ranked fourth with a market share of 6%; and Bank of East Asia (00023) ranked fifth with a market share of 4.9%. For pre-sale properties, HSBC Bank regained the top spot with a market share of 27%; Bank of China Hong Kong dropped to second place with a market share of 26.4%; Hang Seng Bank ranked third with a market share of 16.5%; Standard Chartered Bank ranked fourth with a market share of 6.3%; and Bank of East Asia moved up to fifth place with a market share of 5.7%. In July 2025, the market share of the four major banks for completed properties decreased by 5.9% to 69% from the previous month's 74.9%. Cao Deming stated that with the stabilization of property prices and sales volume, as well as a slight decline in interest rates, banks have shown a more positive attitude towards mortgage businesses and have begun to compete for mortgage business in the second half of the year. The gap in market shares among banks may have the opportunity to be readjusted.