Hong Kong upscale expat rental prices see dramatic fall

Hong Kong luxury rental costs have crashed by 30 per cent due to continuing instability.

For expat professionals on decent salaries who’re determined to stay on in Hong Kong no matter what, now's the time to upgrade to an upscale rental at a bargain price. The island’s luxury property market has undergone a dramatic correction, as mainland Chinese as well as Western expats avoid Hong Kong due to the ongoing threat to its security. China’s economic downturn is another factor in the falling prices, as high-paying sectors such as finance aren’t hiring right now

One luxury townhouse on the Peak illustrates the situation clearly, as its asking rent over the past several months has crashed to between HK$150,000 to HK$200,000, a bargain for those who can still afford it or who are confident enough of the future to sign a lease. The number of premium property leases being signed has also tanked by 30 per cent, and is still heading south. Recently, the wealthy mainland Chinese expat community became the black-shirted protestors’ main target, with one attack on a Chinese private banker hitting social media and creating even more fear amongst those in the financial sector.

As a result, many mainland Chinese are now serious about leaving, with the majority giving up on their upscale residences and putting even more strain on Hong Kong’s luxury rental rates. Western expatriate professionals are no longer arriving in droves, and those who’re still here are unlikely to stay, as major international companies are slashing staff levels or preparing to move to a more politically stable location.