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After the amendments to the Mortgage Insurance Programme in Oct 2019, property value less than 8 million is eligible for up to 90% LTV ratio, less than 10 Million up to 80% LTV ratio.  More

  1. Residential property

Loan-to-value (Without purchasing Mortgage Insurance Plan MIP)

Mortgage Plan
  Residential Properties Non-Residential Properties
  Self-use Residential Properties Company acquired / Non self-
use Residential Properties
Source of income Hong Kong Outside Hong Kong Hong Kong Outside Hong Kong Hong Kong Outside Hong Kong
If applicant does not hold any mortgage plans
At or below HK$10,000,000 60%
(Maximum HK$5,000,000)
50%
(Maximum HK$4,000,000)
50% 40% 40% 30%
At or above HK$10,000,000 50% 40%
Approval by asset value ( Regardless of value) 40% 30%
If applicant holds one or more mortgage plans
At or below HK$10,000,000 50%
(Maximum HK$4,000,000)
40%
(Maximum HK$3,000,000)
40% 30% 30% 20%
At or above HK$10,000,000 40% 30%
Approval of asset value ( Regardless of value) 30% 20%
 
 

Mortgage Insurance Plan MIP (Have purchased Mortgage Insurance Plan MIP)

Property value Maximum LTV Ratio
<=$8 million (only apply to first-time home buyers & regular salaried persons) 90%
>$8 million but <$9 million (only apply to first-time home buyers & regular salaried persons) 80% to 90%
(max loan cap of $7.2 million)
>=$9 million but <=$10 million 80%
15% extra charge will be applied to property value of 4 million or above
Not accept the MIP applications if borrower’s income is derived mainly outside Hong Kong
Maximum debt-to-income ratio of 50%  
 

LTV for Net-worth-based Leading Application

Property Maximum LTV Ratio
First property 40%
Second property 30%
 
 

Repayment period of primary residential property

  
 

Mortgage Insurance Plan (MIP)

Property value Maximum LTV Ratio
<=$4 million 80% or 90%*
>$4 million but <$4.5 million 80% to 90%
(max loan cap of $3.6 million)
>=$4.5 million but <=$6 million 80%
(max loan cap of $4.8 million)
Not accepted the MIP application if the borrowers whose income is derived mainly from outside Hong Kong
*Only applicable to application with (i) all mortgagors not holding any residential properties in Hong Kong
at the time of application; (ii) all applicants being regular salaried persons; and
(iii) maximum debt-to-income ratio of 45%
 

New Ad Valorem Tax (AVD)

A new flat rate of 15 per cent for the ad valorem stamp duty (AVD) chargeable on transactions for residential property. Except for specified exemptions, the new rate applies to all acquisitions of residential property by individuals or companies. The major exemption is where the buyer is a Hong Kong Permanent Resident acting on his/her own behalf and is not a beneficial owner of any other residential property in Hong Kong at the time of acquisition of a residential property. Under such circumstances, the new AVD rate will not apply and the relevant transaction is only subject to the lower AVD rates at Scale 2.
 

Special Stamp Duty (SSD)

Holding period Rate
<=6 months 20%
>6 months but <=12 months 15%
>12 months but <=36 months 10%
 
 

Buyer Stamp Duty (BSD)

Applicants / Companies Rate
Non Hong Kong permanent residents, local or overseas companies 15%
 

Debt-to-income (DTI) Ratio

  Maximum DTI Ratio (Self use) Maximum DTI Ratio (Non-self-use)
Source of income Hong Kong Outside Hong Kong Hong Kong Outside Hong Kong
First time homebuyer/ does not hold any mortgage plans / does not have guarantee
Debt-to-income (DTI) Ratio 50% 40% 40% 30%
Stressed-DTI Ratio 60% 50% 50% 40%
Non-first time homebuyer/ hold mortgage plan(s) / have guarantee
Debt-to-income (DTI) Ratio 40% 30% 40% 30%
Stressed-DTI Ratio 50% 40% 50% 40%
Based on 3% interest rate hike
 
 
 
 
  1. Commercial and Industrial Properties
 

Loan-to-value (LTV)

Property Maximum LTV Ratio
Applicants’ income mainly derived in HK Applicants’ income mainly derived from outside HK
First Property 40% 30%
Second Property 30% 20%
 
 

LTV for Net-worth-based Leading Application

Property Maximum LTV Ratio
First property 30%
Second property 20%
 
 

Ad Valorem Tax (AVD)

Ad valorem stamp duty (AVD)
Property Price Rate
Exceeds Does not exceed
- $2,000,000 1.5%
$2,000,000 $2,176,470 $30,000 + 20% of excess over $2,000,000
$2,176,470 $3,000,000 3%
$3,000,000 $3,290,330 $90,000 + 20% of excess over $3,000,000
$3,290,330 $4,000,000 4.5%
$4,000,000 $4,428,580 $180,000 + 20% of excess over $4,000,000
$4,428,580 $6,000,000 6%
$6,000,000 $6,720,000 $360,000 + 20% of excess over $6,000,000
$6,720,000 $20,000,000 7.5%
$20,000,000 $21,739,130 $1,500,000 + 20% of excess over $20,000,000
$21,739,130 - 8.5%
 
 

Stamp Duty Payment

 
 

Debt-to-income (DTI)

Property DTI Limit
First property 40%
Second property 40%
 
 

Stressed-DTI

Property Stressed DTI Limit
First property 50%
Second property 50%
Based on 3% interest rate hike

 

Repayment period


 
  1. Car Park Space
 

Loan-to-value (LTV)

Property Maximum LTV Ratio
Applicants’ income mainly derived in HK Applicants’ income mainly derived from outside HK
First Property 40% 30%
Second Property 30% 20%
 
 

LTV for Net-worth-based Leading Application

Property Maximum LTV Ratio
First property 30%
Second property 20%
 

Debt-to-income (DTI) Ratio

Property DTI Ratio Limit (Self-use) DTI Ratio Limit (Non Self-use)
First car park* 50% 40%
Second car park 40% 40%

 

Stressed-DTI Ratio

Property DTI Ratio Limit (Self-use) DTI Ratio Limit (Non Self-use)
First car park* 60% 50%
Second car park 50% 50%
Based on 3% interest rate hike

 

Repayment period

 
 
The above information is for reference only. Information as of 19 May 2017.
All terms and conditions are subject to HKMA, HKMC and Inland Revenue Department’s final approval.
For details, please refer to relevant websites.