New project launch prices rebound 15%

Developers have shifted from aggressive discounts to more assertive pricing as the housing market recovers.

New project launch prices have rebounded by about 15% from their lows over the past four years, according to JLL.

The property consultancy said developers have moved away from aggressive discounting and are adopting more assertive pricing as the housing market recovers.

In 2025, developers remained cautious, with many new projects raising asking prices only modestly by around 2% to 5%, or maintaining stable pricing to support sales.

In 2026, pricing strategies became more assertive, with initial price lists and subsequent adjustments rising by up to 30% for selected units in highly sought-after projects.

JLL said housing prices bottomed out in March 2025 and have since gradually recovered, supported by interest rate cuts, the return of mainland Chinese buyers, and improved market sentiment.

In Tseung Kwan O, Grand Seasons was launched in January 2025 with average discounted prices of about $14,000 to $15,000 per square foot (sq ft). By early 2026, La Mirabelle I recorded average discounted prices of around $15,500 to $16,000 per sq ft, up more than 10%.

In Tai Wai, The Pavilia Farm III was relaunched this year at an average discounted price of about $21,344 per sq ft, around 6.7% higher than the initial batch released in 2021.

At Blue Coast in Wong Chuk Hang, prices for higher-quality units have stabilised at $25,000 to $30,000 per sq ft in 2026, with some upper-floor four-bedroom units exceeding $30,000 per sq ft.

JLL said this represented a 19% to 36% increase from the project’s initial launch pricing in 2024.

However, prices remain around 10% to 20% below peak levels recorded for comparable projects launched in 2021.

JLL said Kai Tak recorded the strongest recovery, with new launches in 2026 seeing average prices for higher-quality units rise above $23,000 per sq ft.

New residential projects in Kai Tak launched in 2023 and 2024 were typically priced at $16,000 to $20,000 per sq ft in their initial price lists.

JLL expects new home price growth to moderate if interest rates rise in the second half of 2026, whilst maintaining a steady upward trend.