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🇭🇰Hong Kong EditionUpdated September 2026Bank Lending Rules Audited

Hong Kong Mortgage Calculator

Accurately model real estate financing in Hong Kong with local interest rate benchmarks (3.5% - 4.5%), 10% minimum equity rules, and upfront Ad Valorem Stamp Duty (AVD Scale 2), Legal & Agency Fees.

🇭🇰Hong Kong Model
🇭🇰Hong Kong Mortgage Guidelines & Market Benchmark

The Hong Kong Monetary Authority (HKMA) enforces a Debt Servicing Ratio (DSR) limit of 50% on borrowers' total debt obligations.

Basic Loan Details

Calculate your core monthly principal and interest payment.

SIMPLE
$
$1,000$30,000,000
20% of price
$
%
0.1%12%
yr
Monthly Principal & Interest
$28,214/mo

Standard base amortization repayment

P & I$28,214
Principal & Interest$28,214 (100%)
Total Loan Amount
$6,000,000
Total Financing Interest
$4,157,121
Total Lifetime Cost
$10,157,121
Projected Payoff
Oct 2056

Early Repayment & Prepayment Comparison (Amortización Anticipada)

Simulate paying extra principal: compare reducing your monthly payment vs. shortening your loan term.

Active Mortgage
$
$0$6,000,000
$/mo
$0/mo$5,000/mo
Opción 1: Reducir Cuota / ParcelaSame Term

Keeps the original loan term (30 yrs) and lowers your required monthly payment, boosting your ongoing cash flow.

New Monthly Payment:$28,214/mo
Monthly Cash Savings:Save $0/mo
Total Interest Saved:$0
Opción 2: Reducir Plazo / PrazoMaximum Savings

Keeps your monthly installment unchanged and dramatically shortens your debt term, slashing total interest paid.

Time Shaved Off Loan:0 Years (0 mo)
New Payoff In:30 Years
Total Interest Saved:$0

Amortization Schedule (USD)

Track how your loan balance decreases and view the shift from interest to equity over time.

YearStarting BalancePrincipalInterestTotal PaidEnding Balance
Year 1$6,000,000+$107,975$230,596$338,571$5,892,025
Year 2$5,892,025+$112,234$226,337$338,571$5,779,791
Year 3$5,779,791+$116,661$221,909$338,571$5,663,130
Year 4$5,663,130+$121,263$217,308$338,571$5,541,867
Year 5$5,541,867+$126,046$212,524$338,571$5,415,820
Year 6$5,415,820+$131,018$207,552$338,571$5,284,802
Year 7$5,284,802+$136,186$202,384$338,571$5,148,615
Year 8$5,148,615+$141,558$197,012$338,571$5,007,057
Year 9$5,007,057+$147,142$191,428$338,571$4,859,915
Year 10$4,859,915+$152,946$185,624$338,571$4,706,968
Year 11$4,706,968+$158,980$179,591$338,571$4,547,989
Year 12$4,547,989+$165,251$173,320$338,571$4,382,738
Year 13$4,382,738+$171,769$166,802$338,571$4,210,969
Year 14$4,210,969+$178,545$160,026$338,571$4,032,425
Year 15$4,032,425+$185,587$152,983$338,571$3,846,837
Year 16$3,846,837+$192,908$145,663$338,571$3,653,929
Year 17$3,653,929+$200,517$138,053$338,571$3,453,412
Year 18$3,453,412+$208,427$130,144$338,571$3,244,985
Year 19$3,244,985+$216,648$121,922$338,571$3,028,337
Year 20$3,028,337+$225,194$113,376$338,571$2,803,142
Year 21$2,803,142+$234,077$104,494$338,571$2,569,065
Year 22$2,569,065+$243,311$95,260$338,571$2,325,755
Year 23$2,325,755+$252,908$85,663$338,571$2,072,847
Year 24$2,072,847+$262,884$75,686$338,571$1,809,962
Year 25$1,809,962+$273,254$65,317$338,571$1,536,709
Year 26$1,536,709+$284,033$54,538$338,571$1,252,676
Year 27$1,252,676+$295,236$43,334$338,571$957,440
Year 28$957,440+$306,882$31,689$338,571$650,557
Year 29$650,557+$318,987$19,583$338,571$331,570
Year 30$331,570+$331,570$7,001$338,571$0
Monthly Principal & Interest
$28,214/mo

Essential Lending Standards in Hong Kong

HIBOR-linked (H-plan) with Prime rate cap (P-cap) is chosen by over 90% of Hong Kong mortgage borrowers.

HKMC Mortgage Insurance Programme (MIP) enables first-time permanent resident buyers to borrow up to 90% LTV on properties up to HK$10 million.

Stamp duty relaxation (revocation of BSD, NRSD, and SSD in 2024) leaves standard AVD Scale 2 rates.

Government Rates (差餉) and Government Rent (地租) are assessed quarterly based on rateable rental value.

Borrowing Limits & Stress-Testing in Hong Kong

The Hong Kong Monetary Authority (HKMA) enforces a Debt Servicing Ratio (DSR) limit of 50% on borrowers' total debt obligations.

Property Taxes & Upfront Purchase Costs

Hong Kong permanent resident first-time buyers pay standard Scale 2 Ad Valorem Stamp Duty (AVD). Ongoing costs include quarterly government rates (差餉, 5%) and government rent (地租, 3%) based on rateable value.

Estimated Upfront Fees: Budget approximately 3% for Ad Valorem Stamp Duty (AVD Scale 2), Legal & Agency Fees. In most situations, these fees must be covered in liquid cash and cannot be rolled into the mortgage.

Frequently Asked Questions

What is the minimum down payment required in Hong Kong?

In Hong Kong, buyers typically require at least 10% equity down payment. However, maintaining 20% equity often eliminates additional mortgage insurance charges.

What are the average upfront purchasing fees in Hong Kong?

Upfront transaction fees (Ad Valorem Stamp Duty (AVD Scale 2), Legal & Agency Fees) average approximately 3% of the purchase price and must usually be funded with cash equity.