New project launch prices rebound 15% from four-year lows

HONG KONG, 10 June 2026 – As Hong Kong's housing market continues to recover, developers have shifted from aggressive discounting strategies towards more assertive pricing. According to JLL's latest Hong Kong Residential Sales Market Dynamics released today, the average prices in the first price lists of new developments have rebounded by approximately 15% from the lows recorded over the past four years.

Data from JLL's Projects Strategy and Consultancy department indicate that developers remained relatively cautious in 2025, with many new projects raising asking prices only modestly, typically by 2-5% depending on unit quality, or maintaining stable pricing to support sales momentum. In 2026, however, pricing strategies have become increasingly assertive, with initial price lists and subsequent adjustments having seen increases of up to 30% for selected units in highly sought-after projects.

Norry Lee, Senior Director of Projects Strategy and Consultancy at JLL, said: "Housing prices bottomed out in March last year and have since staged a gradual recovery, supported by interest rate cuts, the return of mainland Chinese buyers and improving market sentiment. In response to evolving market conditions, developers have recalibrated their pricing strategies, moving away from the cautious approach seen previously. In 2026, pricing has become notably more assertive. Developers are no longer relying on discounted pricing to drive sales, with some units in popular projects recording double-digit price increases, reflecting strengthened market confidence. However, as interest rates may rise in the second half of 2026, the pace of new home price growth is expected to moderate, maintaining a steady upward trend.

Taking popular residential developments along MTR railway corridors as examples, prices have stabilised in recent months, with signs of a modest recovery emerging. Grand Seasons, a residential project in Tseung Kwan O, was launched in January 2025, with the first price list reflecting average discounted prices of approximately HKD 14,000 to HKD 15,000 per sq ft. By early 2026, a new batch of units at La Mirabelle I in the same district recorded average discounted prices of around HKD 15,500 to 16,000 per sq ft, representing an increase of more than 10% over a relatively short period.

The Pavilia Farm III in Tai Wai was re-launched this year, with the first batch of units priced at an average discounted price of approximately HKD 21,344 per sq ft. During the launch period, developers implemented multiple price increases, with some premium units achieving prices of over HKD 25,000 per sq ft. The re-launched pricing represents an increase of around 6.7% compared with the initial batch released in 2021, which recorded an average discounted price of around HKD 19,999 per sq ft. While prices have yet to fully return to the peak levels observed in 2021, the uplift clearly indicates a marked recovery from recent market lows.

The Blue Coast project atop Wong Chuk Hang MTR Station was initially launched in 2024, with average discounted prices of approximately HKD 21,000 to 22,000 per sq ft. By 2026, the latest price lists and transaction data indicate that prices for higher-quality units have stabilised at HKD 25,000 to 30,000 per sq ft, with some upper-floor four-bedroom units achieving prices in excess of HKD 30,000 per sq ft. This represents an increase of approximately 19-36% compared with the initial launch pricing. While prices have recovered meaningfully from the post-2021 lows, they remain around 10-20% below the peak levels recorded for projects launched in 2021, such as Southland in the same district, with the first batch of units priced at an average price of approximately HKD 29,689 per sq ft.

Cathie Chung, Senior Director of Research at JLL, added: "Pricing of new projects in the Kai Tak development area has exhibited the strongest recovery. New residential projects launched in the district in 2023 and 2024 were typically priced at HKD 16,000 to 20,000 per sq ft in their initial price lists. In 2026, the new launches in the area have seen average prices for higher-quality units rise to above HKD 23,000 per sq ft, reflecting a notable strengthening in developers' pricing power."