Introduction
This article will analyze for you why more and more Hong Kong people are investing in Shenzhen real estate from the perspective of the economy, policy, market and transportation.
1. Obvious cost-effectiveness advantage
Shenzhen housing prices are generally lower than Hong Kong
- According to data from March 2025, the average price of second-hand houses in Shenzhen is 58,748 yuan/㎡. Among them, Nanshan District has the highest price at 89,481 yuan/㎡, while Dapeng New District has the lowest at 25,992 yuan/㎡.
- The average price of second-hand housing in Hong Kong is about 105,000 yuan/㎡, the central area reached 255,000 yuan/㎡.
In comparison, Shenzhen’s property prices are significantly better than Hong Kong’s.
Good return on investment
The rental return rate in Shenzhen’s core area is between 2.5%-3.5%, and some apartment projects can reach 4%+. The rental yields in Hong Kong are generally only 1.8%-2.8%.
2. Improved cross-border infrastructure makes investment more convenient
The Greater Bay Area（Guangdong-Hong Kong-Macao） has strengthened connectivity and accelerated the flow of people, capital and resources between the two places.
- The Hong Kong section of the high-speed rail carries an average of more than 40,000 passengers per day, with a peak of up to 90,000 passengers per day.
- The Hong Kong-Zhuhai-Macao Bridge, Shenzhen-Zhongshan Link have been implemented, forming a one-hour commuting circle
- Shenzhen has six ports directly connected to Hong Kong, including Futian, Shenzhen Bay, Lok Ma Chau Loop, etc.
These infrastructures have greatly reduced cross-border transaction and living costs, making Shenzhen a good choice for Hong Kong people.
3. Policy dividends attract Hong Kong compatriots to relocate
Shenzhen’s non-local housing purchase threshold drops
- Starting September 2024, Shenzhen has relaxed home-purchase restrictions and reduced down-payment ratios.
- The Guangdong Branch of the People’s Bank of China has provided a special quota totaling RMB 1.5 billion to support home purchase financing in Hong Kong and Macao.
This has greatly enhanced the financing capabilities and feasibility of home purchases for Hong Kong and Macao residents.
The development of the Shenzhen-Hong Kong cooperation zone attracts cross-border talents
- More than 50,000 companies have registered in the Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone, of which 46.6% are in the financial sector.
- Lok Ma Chau breaks through administrative boundaries, which is governed by Hong Kong and funded by Shenzhen, and will focus on innovative technology and education research and development in the future.
The development of the cooperation zone has attracted many high-end talents from Hong Kong, providing support for real estate in the area.
4. Hong Kong’s property market fell back, but Shenzhen’s continued to rise
- The number of second-hand residential transactions in Hong Kong in May 2025 was 3,795(-12.5% y/y).
- Shenzhen second-hand housing transaction volume in May 2025 was 5,727 (+17.6% y/y), showing the market activity
The downward trend of Hong Kong and the upward trend of Shenzhen have led Hong Kong funds to seek new value pockets.
5. Hong Kong people’s motivation for buying houses is no longer pure speculation
- Real estate use for personal use, holiday leisure and retirement;
- Some Hong Kong people hope to hedge against high housing prices and policy uncertainty in Hong Kong;
- The employment opportunities brought by the Greater Bay Area’s industrial clusters and technological innovation attract Hong Kong professionals;
- Shenzhen is a city that attracts high-net-worth talents, and its “one-stop” living, education and medical facilities have obvious advantages.
6. Future Outlook: Continuous Attraction and Multiple Benefits
Taking all the above factors into consideration, Shenzhen has strong appeal to Hong Kong investors:
- Significant cost-effectiveness advantage;
- Transportation and port facilities are becoming increasingly complete；
- The threshold for non-local home purchase and financing is lowered;
- Favorable policies in Qianhai and Lok Ma Chau Cooperation Zone;
- The pullback in Hong Kong contrasts with the rise in Shenzhen;
- Hong Kong people’s diversified asset allocation needs.
Conclusion
Shenzhen not only provides a more cost-effective and low-threshold real estate environment, but also the convenience brought by the integration of the Guangdong-Hong Kong-Macao Greater Bay Area, has become an ideal place for Hong Kong people to buy property.
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