Hong Kong-listed mainland property stocks pulled back collectively, reversing earlier gains from the previous session's sharp rally.

As of the time of writing, Sunac China (01918) fell 4.58% to HK$0.625, Seazen Holdings (01030) dropped 2.97% to HK$1.47, Greentown China (03900) declined 2.64% to HK$5.905, and C&D International Group (01908) slipped 1.35% to HK$12.40.

The market had rallied on September 23 following unverified rumors of a nationwide mortgage interest subsidy program. Reports suggested the Ministry of Finance and local governments could jointly provide subsidies of up to 100 basis points, potentially lowering first-home mortgage rates to around 2%. Another version of the rumor mentioned a total subsidy quota of 100 billion yuan with a 20-basis-point interest reduction.

However, multiple securities analysts covering the real estate sector remain cautious about these rumors, suggesting that the likelihood of a nationwide subsidy policy being implemented is low. One analyst noted that "at the national level, extending loan terms would reduce interest payments by a similar amount to subsidies or rate cuts."

JPMorgan also expressed skepticism, stating that even if the policy were to be implemented, its actual impact would depend heavily on scale and execution details, with upper limits potentially significantly compressing the effectiveness of any stimulus measures.