Why rental demand in Hong Kong continues to grow and why coliving is becoming the new standard of comfortable living
Hong Kong continues to be one of the most expensive and competitive real estate markets in the world.
According to the Hong Kong Rating and Valuation Department, the average rental price of an apartment in 2025 has increased by more than 7% compared to last year, and over the past 5 years, the average annual growth of rental rates has been more than 5%.
This creates serious difficulties especially for students and young professionals who find it difficult to afford housing.
CoLife: Coliving in Hong Kong
Why is renting so expensive?
High prices for buying property.
The average price of an apartment in Hong Kong exceeds HK$20 million (about US$2.5 million), which makes buying a home unaffordable for most of the population. And those who buy a home and then rent it out want to justify the costs, so they do not rent it out for cheap.
Very high demand.
Young professionals often change jobs and locations, which makes renting a more flexible solution. And the increasing number of single residents and small families is driving increased demand for compact and convenient solutions.
Coliving is a new trend
in the Hong Kong market
In recent years, interest in coliving, a shared living space with private rooms and common areas such as a kitchen, living room, and workspace, has grown significantly in Hong Kong. According to the Hong Kong Urban Renewal Authority, the number of coliving projects has grown by 35% from 2020 to 2025. This is a case where demand creates supply.
Coliving attracts people who want to combine personal space with community and comfort. They are ideal for those who value flexibility and social interaction, but are not ready to sacrifice the quality of housing.
The advantages of coliving,
as appreciated by tenants
- Large common areas. Spacious kitchens, lounge areas, workspaces, and recreation areas create a sense of home comfort while expanding opportunities for communication and interaction with other residents.
- High level of service. Unlike traditional rental apartments, coliving offers: regular cleaning, quick troubleshooting, 24/7 support, no need to pay for utilities yourself, etc.
- Modern design and amenities. All rooms and common areas are designed with an emphasis on ergonomics, comfort and style, which creates an attractive atmosphere for living and working.
- Savings and comfort at the same time. The cost of renting a coliving space is lower than a separate apartment with similar amenities, but the quality of life is higher due to services and opportunities for social interaction.
What’s next?
The rental market in Hong Kong is becoming more and more demanding and dynamic.
Coliving as a format combines flexibility, comfort and social opportunities, which makes it an optimal solution for modern urban life.
“Every year more and more people choose this format of living, appreciating its convenience and economic benefits. The numbers prove it. Last month, the occupancy rate in Colife was 100%. Ahead of the student season (the beginning of the new academic year), we expect this trend to continue. Despite rising prices. We previously predicted that rental prices would increase by 7% by the end of this year.”
– Ekaterina Lychak
General Manager
Colife Hong Kong
