According to a survey conducted by Mortgage Link, 540 respondents were interviewed online, revealing that among citizens who do not own property, 45% are considering purchasing a home next year, while another 45% prefer to "wait and see or remain inactive." Only 10% opt to continue renting. Among those considering their first property purchase, over 86.2% intend it for self-use.

Terence Cheung, Operations Director at Mortgage Link, noted that the U.S. currently faces greater risks from weakening employment than rising inflation. He anticipates the Federal Reserve may implement another precautionary rate cut in the first half of 2025. The interest rate trajectory in the second half will depend on the new policies of the incoming Fed Chair.

In Hong Kong, the 2024–2025 rate-cutting cycle saw local banks reduce rates five times, totaling 0.875%, bringing the prime rate (P) back to pre-hike levels. Theoretically, there is little room for further cuts in Hong Kong’s prime rate.

Regarding the Hong Kong Interbank Offered Rate (HIBOR), the one-month HIBOR is expected to fluctuate between 2% and 3% in the first half of 2025, keeping the prevailing mortgage rate at around 3.25%. HIBOR trends will hinge on U.S. interest rates and capital flows. If additional funds flow into Hong Kong, HIBOR may test levels below 2%, potentially allowing HIBOR-linked mortgage borrowers to pay below the cap rate.