Meanwhile, the leasing market for residential property sustained solid performance throughout 2025, partially due to rental demand from new arrivals such as non-local students pursuing higher education in Hong Kong. Overall flat rentals in December 2025 were 4% higher than in December 2024, and the overall flat rental index has surpassed the peak in 2019. Analysed by size, Reflecting the movements of prices and rentals, the average rental yield for residential property remained unchanged at 3.1% in December 2025, The index of home purchase affordability (i.e. the ratio of mortgage payment for a 45-square metre flat to median income of households, excluding around 59% in the fourth quarter of 2025 as flat prices rose further, above the long-term average of 56% over 2005-2024(1).