ab 18 September 2025 Global Research Hong Kong Property Entering the rate cut cycle: gauging the impact on home sales Prime rate was cut by 12.5bps, in-line with expectations Following the 25bps rate cut by the US Federal Reserve and the HKMA's overnight discount rate adjustment, Hong Kong banks today announced a 12.5bps reduction in the prime rate to 5.125%, down from 5.25%. This move was widely anticipated by the market. As a result, the prevailing new residential mortgage rate will decline to 3.375% from ...