Home prices fell 7.1 percent in 2024, official figures showed on Friday.

It was the third year in a row of declining prices, which have dropped 27 percent since the start of 2022.

Eddie Kwok, executive director of CBRE Hong Kong’s valuation and advisory services, said price increases could be on the cards after Lunar New Year and the financial secretary's budget speech next month.

Kwok said major banks have lowered their prime rates since the US Federal Reserve's interest rate cut last September and since then prices have been stabilising.

Martin Wong, head of research and consultancy for Greater China at Knight Frank, said prices could rebound by up to five percent this year, with most of the increase likely to come in the second half.

Figures from the Rating and Valuation Department also showed that prices fell 0.7 percent in December from the month before, ending a two-month increase.