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Accommodation in Hong Kong is expensive. Real estate prices here are among the world’s highest, so expats should budget carefully when looking for a home in the city.
Although there are various quality options, space is a limited commodity in Hong Kong, and apartments in the city-state tend to be small. Unless expats have large budgets to work with, they should be prepared to downsize. In particular, many expats struggle with tiny bedrooms at first.
Areas and suburbs in Hong Kong
House-hunters can choose from a wide range of areas and suburbs in Hong Kong across the city’s 18 districts. Homes here tend to be small, but several areas and suburbs have larger properties. The trade-off is that most of these larger homes are older builds.
Kowloon Tong is one of the neighbourhoods with larger properties. The district is popular with families for its colonial-style houses, leafy streets, gated communities, and good international schools. Jardine’s Lookout and The Peak are other favourites among expat families.
Young professionals and single expats tend to settle in neighbourhoods like Wan Chai, Mid-Levels, Sheung Wan, and West Kowloon. These areas are close to the main business districts and to amenities such as shopping malls and restaurants.
Areas and Suburbs in Hong Kong
Types of accommodation in Hong Kong
The two broad types of accommodation in Hong Kong are ‘old’ and ‘new’ builds. Older accommodation is often a bit rough around the edges, but if you are willing to put in some work to make it feel like home, it can be a good option when space and a central location are your priorities.
There are plenty of high-quality, modern apartments in the popular residential areas, but that lifestyle comes at a price, and the spaces are typically much smaller. Those on a budget who want modern living should consider adding a few extra stops to their commute and looking at some of the newer residential areas that are developing outside the Hong Kong city centre.
Furnished vs unfurnished
Most apartments in Hong Kong are unfurnished. A fitted place usually includes basic kitchen cabinets and appliances such as a stove, oven, and washing machine, plus sometimes a dishwasher. It is fairly simple for expats to find furniture, dishes, linen, and utensils at shops like IKEA.
Those after a furnished apartment are better off looking in the serviced apartment and short-term rental market. These come with everything from beds and appliances to cutlery.
Short lets
The short-term rental market in Hong Kong is booming. Expats who are in the city for the short term or who want to get a feel for different neighbourhoods before signing a lease can rent a serviced apartment or a short-term let on platforms like Airbnb. These are often fully equipped with everything expats need for their stay. The rate usually includes utilities and internet, and it works out cheaper than a traditional hotel.
Useful links
Finding accommodation in Hong Kong
Most expats finding accommodation in Hong Kong choose to rent rather than buy, since assignments here tend to be short.
For those whose employer is not handling the search, the best option is to enlist a reputable real estate agent. These agents know the local property market inside out and can help expats find a place that fits their needs in terms of size, quality, price, and location.
In Hong Kong, the standard agency commission is half a month’s rent from the tenant and half a month’s rent from the landlord, and it is payable once the formal tenancy agreement is signed. Some expats moving here are lucky enough to have a relocation company act on their behalf. The firm assesses their preferences and draws up a shortlist for them to view.
There are plenty of online property portals, and they are a useful research tool, but the best flats in Hong Kong get snapped up fast. Often, by the time a prospective tenant enquires about a listing, an agent has already let it. It is still worth using the portals to research apartment types, prices, and availability before relocating.
Useful links
Renting accommodation in Hong Kong
Making an application
Once expats have found a suitable home in Hong Kong, they will need to sign a provisional tenancy agreement and start negotiations with the landlord. Those working with an estate agent will have the agent handle these discussions.
Leases
Rental contracts in Hong Kong are usually two years long. Most include a break clause after the first year, which allows either party to end the lease early with notice. Landlords typically use a standard government lease. Stamp duty is payable on the tenancy, and the landlord and tenant usually split it equally. Because landlords can add their own clauses, expats should read the contract carefully and check for any hidden costs.
Deposits and fees
A security deposit of two or three months’ rent is standard, and the landlord returns it once the tenant moves out. On top of that, expats also pay one month’s rent in advance and an agency commission of half a month’s rent. Expats should take a detailed inventory of the flat and its contents with the landlord at the start and end of the tenancy, which helps avoid charges for damage beyond normal wear and tear.
Terminating the lease
The break clause is the usual way out before the two years are up. After the first year, either the tenant or the landlord can end the lease by giving the notice set out in the contract, typically one or two months’ notice. Leaving before the break-clause date may result in forfeiting the deposit, so expats should check the wording before signing.
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Utilities in Hong Kong
Rent in Hong Kong rarely includes utilities, so expats should budget for them separately. Unless they are in a serviced apartment, most expats have to set up the connections themselves.
Electricity
HK Electric and CLP Power supply the electricity in Hong Kong. HK Electric covers Hong Kong Island and Lamma Island, while CLP Power covers Kowloon, the New Territories, and the outlying islands. The two run as separate companies, but their networks are linked so that supply continues in an emergency.
To set up a connection in their own name, expats can fill in an online form or download it and complete it, then email it to HK Electric or CLP Power’s customer service team. This should be done at least a day before moving in to be connected on time. Expats also pay a deposit to start the connection.
Electricity bills are sent monthly, and expats can pay by autopay, online, or at convenience stores and ATMs.
Gas
The process for connecting gas in Hong Kong is similar to the one for connecting electricity services. Towngas provides mains gas in the city-state, while residents in rural areas typically use bottled gas. Expats can either fill in an online form or visit a Towngas customer service centre to transfer an account to their name.
Newcomers should take meter readings when they move in and submit them to Towngas to help avoid being overcharged. They then pay a security deposit that covers the final bill when they close the account. Gas bills are sent every two months and usually show a breakdown of usage.
Water
Most of Hong Kong’s fresh water comes from the Dongjiang River in mainland China, and the rest comes from local reservoirs. The Water Supplies Department manages the supply. Expats can download an application form and take it, along with their Hong Kong ID, to a local customer service office. Water bills are sent every quarter.
Bins and recycling
The Food and Environmental Hygiene Department manages waste collection in Hong Kong. Private companies collect waste in commercial settings. Household waste in Hong Kong is collected daily at public waste collection points. Some residential housing units hire private companies to collect their waste and provide large bins for their residents.
Residents are encouraged to sort their recycling and drop it in separate bags at a collection point. Through its Green@Community network, the Environmental Protection Department runs recycling points across all 18 districts. These accept common recyclables such as paper, plastics, metal, and glass. Smart food-waste bins have also been rolled out, so residents can recycle food scraps too.
Internet
Arranging home internet in Hong Kong is straightforward, and fibre is available in most flats at a reasonable price. Setting it up is much like arranging the other utilities.
For internet providers and plans, see Keeping in Touch in Hong Kong.