Ricacorp: Third Quarter Hong Kong First-Hand Private Residential Transactions Record 3,066 Cases, Down 55% Quarter-on-Quarter

Ricacorp Properties' Head of Research, Chen Haichao, stated that Hong Kong's new property market experienced a diving decline in the third quarter, with transactions for the entire quarter falling significantly, hitting a new single-quarter low over the past eight quarters. According to Hong Kong Land Registry data, in the third quarter of 2026, first-hand private residential sale and purchase registrations recorded 3,066 cases, a sharp drop of 55% from the peak of 6,779 cases in the second quarter, and a decrease of 45% from 5,536 cases in the same period last year. The registered consideration involved in the third quarter of this year was HK$48.284 billion, down 43% quarter-on-quarter, the lowest in nearly six quarters. Calculated by average price per transaction, the third quarter of this year was HK$15.748 million, up 25% quarter-on-quarter, a new high for 21 quarters (i.e., more than five years) since the third quarter of 2021. As for the first three quarters of this year, first-hand private residential transactions cumulatively recorded 15,220 sale and purchase registrations, which, apart from being 5% more than 14,488 cases in the same period last year, was also a new high for the same period in seven years since 2000. By district, statistics show that first-hand private residential registrations in Hong Kong Island, Kowloon, and the New Territories all recorded comprehensive declines in the third quarter of this year. Among them, although Kowloon's transaction volume recorded a significant downward adjustment, it still had the highest number of registrations among the three districts; data show that first-hand sale and purchase registrations in Kowloon fell sharply by 56% quarter-on-quarter from 3,581 cases in the second quarter to 1,578 cases in the third quarter; the registered consideration involved was HK$22.475 billion, also down 45% quarter-on-quarter. In the New Territories, first-hand private residential registrations during the quarter shrank by 52% from 2,441 cases in the second quarter to 1,162 cases in the third quarter, while total registered value fell sharply by 55% to HK$11.084 billion. As for Hong Kong Island, first-hand sale and purchase registrations in the third quarter were only 326 cases, down 57% quarter-on-quarter; the registered consideration involved was HK$14.725 billion, down 27% quarter-on-quarter. By project classification, among the newly registered projects in the third quarter of this year, Cheung Sha Wan's "Rui Jing I" recorded the most sale and purchase registrations at 482 cases, involving a total registered value of HK$4.573 billion, with an average transaction price of about HK$9.49 million per case. Next, Yuen Long's "Qian Yu" also had 392 cases, ranking second, involving a total registered value of HK$2.139 billion; while LOHAS Park Sea Embankment Bay II recorded 280 registrations, ranking third. Among the top ten best-selling new projects in the third quarter, the one with the highest average transaction price per case was Phase 1 of South Land on Hong Kong Island, "Jin Huan," which recorded 1 registration during the period, with an average consideration of as high as HK$55 million per case; while "Qian Yu" at HK$5.46 million was the lower average price. Chen Haichao pointed out that although the market in the third quarter underwent a deep downward adjustment due to the impact of the summer slack season, the World Cup, and repeated Middle East conflicts driving high oil prices and concerns about rising interest rates, as the slack factors dissipate and with the overall economy improving, market purchasing power will re-accumulate, and the fourth quarter is expected to see improvement. With property market transactions gradually recovering and supported by a good atmosphere, if there are about 1,600 first-hand registrations per month on average in the fourth quarter, then the entire fourth quarter is expected to record about 4,800 cases, with a quarter-on-quarter rebound of 57%; it is also expected to drive full-year first-hand registrations to break through 20,000 cases, with a chance to hit a new high for the same period in seven years since 2020.