Hong Kong mortgage FAQ: approval, guarantees, insurance and refinancing
Check lending limits, DSR, documents, guarantees, mortgage-insurance cancellation and letting conditions without assuming fixed refunds, automatic releases or approval.
Last reviewed: · WeProperty Editorial Team · Editorial policy
Short answer: Review general limits, product eligibility and your actual agreement together. A referral, calculator result or DSR below the general limit is not lender approval.
Scope: the general mortgage measures concern property purchases and refinancing. Property-secured corporate operating credit, mortgage insurance and subsidised-housing schemes require separate conditions.
Prepare three records before applying
| Record | Check |
|---|---|
| Income and debts | Recognised income, every repayment and guarantee document |
| Property and funds | Valuation, price, down payment, charges and cash buffer |
| Written offer | Interest, term, rebate, costs, early repayment and notice |
Separate general lending and mortgage insurance
The general 70% LTV and 50% DSR limits do not promise a loan. Insurance has additional eligibility criteria. Check the applicable documents; do not assume a fixed premium refund or that cancelling insurance automatically permits letting. HKMA: mortgage measures effective 16 October 2024.
Read the DSR examples, joint ownership and guarantee guide and early repayment checklist before preparing individual questions.
Questions and answers
Does DSR below 50% guarantee approval?
No. The lender assesses income, debts, credit, valuation and eligibility.
Does an existing mortgage always impose a 40% DSR limit?
That is not the current general rule. Existing repayments and guarantee obligations still need to be disclosed and assessed.
Is the regulatory stress test still mandatory?
That requirement was suspended in February 2024. Lenders still assess repayment ability.
Can a referral guarantee approval or a rebate?
No. Confirm the referral scope and fees, then verify the lender’s offer and conditions.
Can I add a guarantor’s income myself?
Do not assume so. The lender must confirm recognised income and the treatment of debt and guarantees.
Is a guarantee automatically released when income improves?
No. Obtain the lender’s approval, document requirements, costs and written effective release.
Does cancelling insurance guarantee a fixed premium refund?
No. Confirm the applicable policy, eligibility, period and refund with the lender and programme.
May I immediately let the property after cancelling insurance?
Do not assume so. Check owner-occupation conditions, required lender consent and other restrictions.
Are all costs zero after the penalty period?
Not necessarily. Check interest, rebate recovery, document costs and legal charges.
Does an email enquiry confirm a booking?
No. Wait for confirmation of the service and arrangements. Bookings require confirmation.
Sources
Revision: reviewed the cited scope, replaced outdated generalisations and removed unsupported experience or outcome promises. Examples and checklists are editorial illustrations; they do not establish individual approval or legal rights.