It is general information, checked in October 2026, and not legal, tax or immigration advice. Rules and rates change, so always confirm the current position on gov.hk and with your solicitor.
1. Choosing where to live
Homewise Realty covers Hong Kong Island only, which we divide into four sectors:
- Central 港島中: Mid-Levels, The Peak, Wan Chai and Causeway Bay. Close to the business district.
- Western 港島西: Kennedy Town, Mid-Levels West, Pok Fu Lam, Sheung Wan and Sai Ying Pun. Lively neighbourhoods and green Pok Fu Lam.
- Eastern 港島東: Happy Valley, Jardine's Lookout, Mid-Levels East, North Point, Quarry Bay, Tai Hang, Tin Hau, Taikoo Shing and Sai Wan Ho. Established residential areas with good transport links.
- Southern 港島南: Repulse Bay, Deep Water Bay, Stanley, Shouson Hill, Tai Tam, Chung Hom Kok, Shek O, Aberdeen and Wong Chuk Hang. Beaches, space and south-side schools.
See also our guides to schools, beaches and hiking and dining and shopping.
Central港島中Mid-Levels · The Peak · Wan Chai …District guides ›
Western港島西Mid-Levels West · Pok Fu Lam · Sheung Wan …District guides ›
Eastern港島東North Point · Quarry Bay · Tai Hang …District guides ›
Southern港島南Repulse Bay · Stanley · Deep Water Bay …District guides ›2. Renting a home: step by step
- Set your brief. Budget, preferred areas, bedrooms, move-in date, furnished or unfurnished, parking, pets and school-bus routes.
- Sign the estate agency agreement. Before arranging viewings (or before you sign a tenancy agreement, if that comes first), a licensed agent must sign the prescribed estate agency agreement with you (Form 6 for tenants). It states whether the agent acts only for you or for both you and the landlord (dual agency), and it sets out the commission terms.
- View homes. Shortlist properties and view them in person or by video if you are still overseas.
- Make an offer. Offers usually cover the rent, lease term, break clause, move-in date, what is included (furniture, appliances, repairs) and whether the rent includes management fees, government rates and government rent.
- Check the landlord's title. Ask to see a recent land search from the Land Registry. It confirms the registered owner and shows whether the property is mortgaged. If it is, check that the bank's consent to the letting has been obtained where required.
- Sign the tenancy agreement and pay the deposit. Read the agreement carefully before signing, especially the repair, break and reinstatement clauses.
- Stamp the tenancy agreement. Tenancy agreements must be stamped by the Inland Revenue Department's Stamp Office within 30 days of signing. Landlord and tenant are both legally liable for the stamp duty and usually agree how to share it (see section 4).
- Form CR109. The landlord should submit Form CR109 (Notice of New Letting or Renewal Agreement) to the Rating and Valuation Department within one month of the tenancy being agreed. Endorsement is free if submitted on time.
- Hand-over and inventory. Record the condition of the flat, its furniture and its appliances, with photographs, on the day you collect the keys.
- Set up utilities (see section 6).
The typical lease: two years with a one-year break clause
On Hong Kong Island, residential leases are commonly for two years, with the first 12 months fixed. After that, a break clause usually allows either party to end the lease early by giving written notice, often two months. This structure is a matter of agreement rather than law, so the exact term, break date and notice period are whatever you agree in the tenancy agreement. If you think your job may move, a break clause is especially important.
Deposit
A security deposit equal to two months' rent is common. It is usually paid on signing, together with the first month's rent in advance. The deposit is held by the landlord and returned at the end of the tenancy, less any agreed deductions. As with the lease term, the amount is agreed between landlord and tenant and should be stated clearly in the tenancy agreement. Stamp duty is not charged on the deposit.
Agent commission
Commission terms are set out in the estate agency agreement prescribed by the Estate Agents Authority (EAA), which we sign with you before any viewing. Please contact us for details. In a dual-agency case, the agent must also tell you, in writing, the commission it will receive from the other party.
3. Buying a home: step by step
Anyone can buy residential property in Hong Kong, regardless of nationality or residency. Since 28 February 2024, Buyer's Stamp Duty and Special Stamp Duty no longer apply to new purchases (see section 4).
- Arrange finance first. If you need a mortgage, speak to banks early about pre-approval. Loan-to-value limits are set under Hong Kong Monetary Authority (HKMA) guidelines and depend on your circumstances, so check the current position with your bank.
- Sign the estate agency agreement (Form 4 for purchasers). This confirms whom the agent acts for and sets out the commission terms. We sign it with you before any viewing.
- View and shortlist. We can provide building information, recent land searches and floor plans for the homes you are considering.
- Check the title before you commit. A land search shows the registered owner, any outstanding mortgage, and any registered orders or encumbrances. The Community Legal Information Centre recommends obtaining one before signing the provisional agreement.
- Instruct a solicitor. Ideally, have a solicitor in place before you sign anything.
- Sign the Provisional Agreement for Sale and Purchase (PASP) and pay the initial deposit. The provisional agreement is legally binding.
- Sign the formal Agreement for Sale and Purchase and pay the further deposit. Your solicitor checks the title and handles the formal agreement.
- Pay stamp duty. Ad valorem stamp duty (AVD) on the agreement is generally due within 30 days of signing. Your solicitor normally arranges this.
- Completion. You pay the balance (or your bank releases the mortgage loan), the property is assigned to you, and you receive the keys.
4. Stamp duty explained
On buying: ad valorem stamp duty (AVD)
Stamp duty on a residential purchase is charged on the price or the market value, whichever is higher. From 28 February 2024, the government abolished Buyer's Stamp Duty (BSD), Special Stamp Duty (SSD) and the higher "New Residential Stamp Duty" rate. As a result, Hong Kong permanent residents and non-permanent residents, whether first-time buyers or existing owners, now pay AVD on the same scale for residential property.
From 26 February 2026, the top rate for residential property above HK$100 million rose from 4.25% to 6.5% (Stamp Duty (Amendment) Ordinance 2026). The current residential rates published by the Inland Revenue Department are:
| Consideration or value (whichever is higher) | AVD on residential property (instruments executed on or after 26 Feb 2026) |
|---|---|
| Up to HK$4,000,000 | HK$100 |
| HK$4,000,001 – 4,323,780 | HK$100 + 20% of the excess over HK$4,000,000 |
| HK$4,323,781 – 4,500,000 | 1.5% |
| HK$4,500,001 – 4,935,480 | HK$67,500 + 10% of the excess over HK$4,500,000 |
| HK$4,935,481 – 6,000,000 | 2.25% |
| HK$6,000,001 – 6,642,860 | HK$135,000 + 10% of the excess over HK$6,000,000 |
| HK$6,642,861 – 9,000,000 | 3% |
| HK$9,000,001 – 10,080,000 | HK$270,000 + 10% of the excess over HK$9,000,000 |
| HK$10,080,001 – 20,000,000 | 3.75% |
| HK$20,000,001 – 21,739,120 | HK$750,000 + 10% of the excess over HK$20,000,000 |
| HK$21,739,121 – 100,000,000 | 4.25% |
| HK$100,000,001 – 109,574,470 | HK$4,250,000 + 30% of the excess over HK$100,000,000 |
| HK$109,574,471 and above | 6.5% |
How to read the table: the "+ x% of the excess" bands are marginal relief, which smooths the jump between rates. For example, on a consideration of HK$15,000,000, the rate is 3.75%, so the duty is HK$562,500. This is an illustration of the tax calculation only.
Stamp duty rules change, often at the annual Budget. Check the current rates on gov.hk and with your solicitor before you sign.
On renting: lease stamp duty
Tenancy agreements are also subject to stamp duty, charged by lease term:
| Lease term | Stamp duty |
|---|---|
| Not defined or uncertain | 0.25% of the yearly (or average yearly) rent |
| Up to 1 year | 0.25% of the total rent payable over the term |
| More than 1 year, up to 3 years (e.g. a standard two-year lease) | 0.5% of the yearly (or average yearly) rent |
| More than 3 years | 1% of the yearly (or average yearly) rent |
| Each duplicate or counterpart | HK$5 |
Rent is rounded up to the nearest HK$100 for the calculation. Any deposit mentioned in the lease is not included. For a two-year lease, the duty is 0.5% of one year's rent: for every HK$10,000 of monthly rent, that is HK$600. The agreement must be stamped within 30 days of signing. Landlord and tenant are both liable, and they usually agree in the tenancy agreement how the cost is split.
5. Who pays what in a tenancy
These items are commonly negotiated, so make sure your tenancy agreement states clearly who pays each one:
- Management fees for the building
- Government rates and government rent, which are billed quarterly by the Rating and Valuation Department
- Utilities and broadband, usually paid by the tenant
- Repairs, which are usually split between structural and major items (landlord) and minor day-to-day items (tenant)
- Stamp duty on the lease (see above)
6. Utilities
| Service | Provider on Hong Kong Island | What to do |
|---|---|---|
| Electricity | HK Electric, which supplies Hong Kong Island and Lamma Island | Open an account online, by phone or with the application form. HK Electric asks for applications at least two weeks before the supply date. A refundable security deposit is required. |
| Gas | Towngas (where the building has piped town gas) | Apply online or at a customer centre with ID and your tenancy agreement. A deposit is required. |
| Water | Water Supplies Department (WSD) | Take over the water account using WSD's application form. A deposit is required. |
| Broadband, TV and mobile | Several private providers | Check which providers serve your building before you sign up. |
Scroll sideways to see the full table ›
Deposit amounts are set by each provider and change from time to time, so please check the current figures on the provider's website.
7. Visas and identity cards
To live and work in Hong Kong you need the right to do so. The Immigration Department (ImmD) runs several entry schemes, including:
- General Employment Policy (GEP): for professionals with a confirmed job offer in Hong Kong
- Admission Scheme for Mainland Talents and Professionals (ASMTP): the equivalent scheme for Mainland Chinese residents
- Top Talent Pass Scheme (TTPS): for high earners and graduates of eligible top universities; no job offer needed when you apply
- Quality Migrant Admission Scheme (QMAS): a points-based scheme for highly skilled people without a job offer
- Immigration Arrangements for Non-local Graduates (IANG): for eligible graduates of Hong Kong programmes
- New Capital Investment Entrant Scheme: for eligible investors
- Dependant visas: eligible spouses or partners and unmarried dependent children under 18 can usually join the sponsor. ImmD states that dependants under these schemes may normally work or study.
Hong Kong identity card. If you are aged 11 or over and permitted to stay in Hong Kong for more than 180 days, you must register for a Hong Kong identity card within 30 days of arrival.
Permanent residence. ImmD notes that entrants and their dependants may apply for permanent resident status after seven years of continuous ordinary residence, subject to the legal requirements.
Immigration rules are detailed and change from time to time. Always check the current requirements on the Immigration Department website, and take professional advice where needed.
8. Moving-in checklist
- Visa approved and travel booked
- Areas shortlisted around work and school
- Estate agency agreement signed before viewings
- Land search checked
- Tenancy agreement or sale agreement reviewed (with a solicitor for purchases)
- Deposit paid and receipt kept
- Lease stamped within 30 days
- Electricity, gas, water and broadband accounts opened
- Hong Kong identity card appointment booked within 30 days of arrival (if applicable)
- Inventory and photographs taken at hand-over
Browse current homes for rent and sale on homewise.hk.
Frequently asked questions
How long is a typical residential lease on Hong Kong Island?
Two years is common, with the first 12 months fixed and a break clause allowing either side to end the lease after that, usually on two months' written notice. All of these terms are agreed between landlord and tenant and should be set out in the tenancy agreement.
How much deposit will I need to rent a flat?
A security deposit of two months' rent, plus the first month's rent in advance, is common. The deposit is refundable at the end of the tenancy, less any agreed deductions.
Can foreigners buy property in Hong Kong?
Yes. There are no nationality restrictions on buying residential property. Since 28 February 2024, Buyer's Stamp Duty and Special Stamp Duty have been abolished for new transactions, so non-permanent residents pay ad valorem stamp duty on the same scale as permanent residents.
How much stamp duty do I pay when buying a home?
It depends on the price or value, whichever is higher. For residential agreements signed from 26 February 2026, it is HK$100 up to HK$4 million, rising through bands to 4.25% between about HK$21.7 million and HK$100 million, and 6.5% above about HK$109.6 million. Check the current rates on gov.hk before you sign.
Who pays stamp duty on a tenancy agreement?
Both landlord and tenant are legally liable, and they usually agree in the tenancy agreement how to share it. For a lease of one to three years, the duty is 0.5% of the yearly rent. The agreement must be stamped within 30 days of signing.
Who supplies electricity on Hong Kong Island?
HK Electric supplies electricity to Hong Kong Island and Lamma Island. Water comes from the Water Supplies Department and piped gas from Towngas.
Notes and sources
Information checked on 3 October 2026. This page gives general information only and is not legal, tax or immigration advice.
Stamp duty
- IRD, FAQ on Ad Valorem Stamp Duty (current rates effective 26 February 2026; Stamp Duty (Amendment) Ordinance 2026 gazetted 29 May 2026): https://www.ird.gov.hk/eng/faq/avd.htm
- GovHK, Stamp Duty Rates (sale and lease rates): https://www.gov.hk/en/residents/taxes/stamp/stamp_duty_rates.htm
- IRD press release, abolition of demand-side management measures from 28 February 2024: https://www.ird.gov.hk/eng/ppr/archives/24022808.htm
- IRD, FAQ on demand-side management measures: https://www.ird.gov.hk/eng/faq/dsmm.htm
- IRD, Stamping of Tenancy Agreement FAQ and explanatory notes: https://www.ird.gov.hk/eng/faq/sta.htm ; https://www.ird.gov.hk/eng/pdf/sdo/irsd119.pdf
Tenancies and agency
- Rating and Valuation Department, Form CR109 and tenancy requirements: https://www.rvd.gov.hk/en/tenancy_matters/toolkit_lease.html
- EAA, prescribed estate agency agreements Form 6 (agent and tenant) and Form 5 (agent and landlord): https://www.eaa.org.hk/practice/documents/form6.pdf ; https://www.eaa.org.hk/practice/documents/form5.pdf
- EAA Practice Circular 24-01 on commission and competition: https://www.eaa.org.hk/Portals/0/Sections/LGA/Circular/24-01_CRE.pdf
- EAA, Estate Agents Ordinance overview (dual agency disclosure): https://www.eaa.org.hk/en-us/Information-Centre/Publications/Agency-Law/-12-Estate-Agents-Ordinance-and-its-subsidiary
- Estate Agents Practice (General Duties and Hong Kong Residential Properties) Regulation, Cap. 511C (timing of Form 4 / Form 6 agreements): https://www.hklii.hk/en/legis/reg/511C/full ; EAA consumer guide: https://smart.eaa.org.hk/en-GB/rent/3
- Community Legal Information Centre, buying a flat and land searches: https://clic.org.hk/en/topics/saleAndPurchaseOfProperty/provisional_sale_and_purchase_agreement/q1
Utilities
- HK Electric, Guide to Connection of Supply, Chapter 2: https://www.hkelectric.com/documents/en/CustomerServices/CI/Documents/GCS_7th_en/GuidetoConnectionofSupply_Chapter%202_En.pdf
- Towngas, opening and closing accounts: https://www.towngas.com/en/Household/Customer-Services/Open-Close-Account
- Water Supplies Department, taking up accounts: https://www.wsd.gov.hk/en/customer-services/manage-account-and-water-bills/taking-up-or-closure-of-accounts/change-of-consumership/index.html
Immigration
- ImmD, Admission schemes for talent, professionals and entrepreneurs: https://www.immd.gov.hk/eng/useful_information/admission-schemes-talents-professionals-entrepreneurs.html
- ImmD, GEP: https://www.immd.gov.hk/eng/services/visas/GEP.html ; TTPS: https://www.immd.gov.hk/eng/services/visas/TTPS.html ; Dependants: https://www.immd.gov.hk/eng/services/visas/residence_as_dependant.html
- ImmD, Registration of Hong Kong identity card: https://www.immd.gov.hk/eng/services/hkid/reg_replace.html
Not stated as fact, by design: the two-year lease with a 12-month break, the two-month notice and the two-months' deposit are described as common market practice, not legal requirements. No commission rates are quoted.
