The effectiveness and consequences of the government's interventions for Hong Kong's residential housing markets

Yongheng DENG, Congyan HAN*, Teng LI, Yonglin WANG

*Corresponding author for this work

Research output: Journal PublicationsJournal Article (refereed)peer-review


We study the effectiveness, consequences, and transmission mechanisms of the government's interventions for Hong Kong's residential housing market between 2009 and 2017. We use granular microlevel transaction data and adopt a regression discontinuity design to conduct the empirical analysis. We find that mortgage-tightening measures effectively curbed the overheated market by reducing price and volume while specific submarkets occasionally experienced volatility. Tax-driven measures effectively suppressed trading activity but triggered price volatilities across submarkets. Several rounds of measures had a spillover effect on subsidized public housing. Our findings have implications for policymakers seeking to review and revise property market intervention policies in Hong Kong and elsewhere.
Original languageEnglish
Pages (from-to)324-365
Number of pages42
JournalReal Estate Economics
Issue number2
Early online date5 Jan 2024
Publication statusPublished - Mar 2024

Bibliographical note

Publisher Copyright:
© 2024 The Authors. Real Estate Economics published by Wiley Periodicals LLC on behalf of American Real Estate and Urban Economics Association.


  • Hong Kong
  • house prices
  • housing
  • intervention measures
  • trading volumes

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