Hong Kong lowers property threshold for investor visa to boost real estate market

Hong Kong is cutting the minimum threshold for home purchases under its investor visa program, in the latest effort to revive the city’s struggling property market.

New Capital Investment Entrant Scheme CEO John Lee announced on Wednesday that applicants to the scheme can now purchase residential property worth at least HK$30 million ($3.9 million) as part of their investment package. The previous threshold was HK$50 million.

The adjustment is designed to spur demand for luxury homes, but analysts caution the impact may be limited. Housing oversupply, coupled with weak economic growth and subdued sentiment, continues to weigh on the market. Residential prices remain close to their lowest levels since 2016, despite a raft of measures such as tax cuts and looser mortgage rules aimed at stimulating demand.

The investment entrant program requires applicants to commit at least HK$30 million in assets, spanning equities, debt securities, and real estate. However, Lee confirmed that the cap for residential property investment to be counted toward the scheme remains unchanged at HK$10 million.

According to government data, the scheme has drawn strong interest since its revival. As of April, it had received 1,257 applications, with 512 approvals expected to bring more than HK$37 billion in investment to the city. By July, authorities had issued 673 visas, with qualified entrants contributing HK$21 billion.

The program, relaunched in March last year, is open to foreign nationals, as well as residents of Taiwan, Macau, and mainland China who have obtained foreign permanent residency. Successful applicants gain a two-year visa if they invest HK$30 million in permissible assets in Hong Kong.

In March, the government further lowered requirements by reducing the period investors need to demonstrate ownership of net assets or equity from two years to just six months. Out of the minimum HK$30 million, HK$27 million must be invested in financial assets such as stocks, bonds, or property, with the remaining HK$3 million placed into a designated investment portfolio.

Officials hope the revised threshold will enhance Hong Kong’s attractiveness as an investment hub while providing a modest lift to its luxury housing sector. But with fundamental headwinds still pressuring the broader property market, the long-term impact remains uncertain.