Core Viewpoint - The data from the Hong Kong Rating and Valuation Department indicates a significant increase in private housing completions in December, but the overall annual completions for 2025 are projected to decline compared to 2024. Group 1: Housing Completions - In December, Hong Kong saw a completion of 891 private housing units, a 130% increase from 383 units in the previous month [1] - The total number of completions for the year 2025 is expected to be 18,448 units, which is a 24% decrease compared to 24,261 units in 2024 [1] - The 2025 completion figure is close to 90% of the Hong Kong government's earlier forecast of approximately 20,862 units [1] Group 2: Unit Size Distribution - The majority of the completed units in December were small units, with 537 units (over 60%) having a usable area of less than 431 square feet [1] - Additionally, 341 units (38%) fell within the size range of 431 to 752 square feet [1] - Only 5 and 8 units were classified as medium (753 to 1,076 square feet) and large units (1,076 to 1,721 square feet), respectively [1] Group 3: Regional Distribution - In the first 12 months, the Kowloon district accounted for the highest number of completed new buildings, with 9,002 units, representing nearly half of the total completions [1] - Many of these completions were concentrated in supply hubs such as Kai Tak [1]

Core Viewpoint - The article highlights the increasing trend of mainland Chinese buyers purchasing properties in Hong Kong, driven by factors such as a preference for new developments, emphasis on transportation accessibility, and a willingness to pay higher prices [4][5][6]. Group 1: Market Trends - In 2025, over 56,600 private property transactions were recorded in Hong Kong, with buyers using Mandarin pinyin accounting for 13,958 transactions, approximately 25% of the total, marking a 20% increase from 2024 [5]. - The total amount involved in these transactions reached 1,410 billion HKD, an increase of over 8% compared to 1,303 billion HKD in 2024 [5]. - The number of mainland buyers purchasing properties in Hong Kong has consistently exceeded 100 billion HKD for two consecutive years, with both price and volume rising for three years [5]. Group 2: Buyer Preferences - Mainland buyers are increasingly favoring new properties, with 6,502 transactions recorded in 2025, a 17% year-on-year increase, accounting for over half of the total transactions [6]. - The total amount for new property transactions by Mandarin pinyin buyers was approximately 789 billion HKD, slightly lower than the previous year but still among the highest historical figures [6]. - The demand for properties in the Kai Tak area, known for its proximity to the West Kowloon high-speed rail station, has surged, with 2,222 new property transactions recorded in 2025, of which 52.6% were made by Mandarin pinyin buyers [7]. Group 3: Luxury Market Dynamics - The luxury property market in Hong Kong is complex, with mainland buyers accounting for over half of transactions exceeding 10 million HKD [8]. - In 2025, mainland buyers represented approximately 69.7% of transactions for properties priced over 50 million HKD, 64.3% for properties between 20 million and 50 million HKD, and 57.3% for properties between 10 million and 20 million HKD [8]. - The introduction of a new investment immigration plan in 2024, allowing investments in residential properties priced at 50 million HKD or above, is expected to boost transactions in this segment [9]. Group 4: Future Outlook - The Hong Kong real estate market is anticipated to remain active in 2026, driven by factors such as developers actively reducing inventory, new projects being promoted at relatively low prices, and interest rate cuts stimulating demand [10]. - The influx of mainland capital, referred to as the "North Water Effect," is expected to continue influencing the market positively [10]. - Analysts predict that the number of Mandarin pinyin buyers entering the market may exceed 15,000 in the coming year, indicating a growing influence of mainland buyers in the new property market [10].