There are fears that real estate prices are getting too high in Hong Kong; since the beginning of 2009, prices have surged by 42%, and it is predicted that they could rise by another 10% this year.

All local indices, such as the Centaline index and the Hang Seng property index, are showing a steady rise in prices. The Centaline index, which shows Hong Kong's home prices, have increased 10.5% this year while the Hang Seng property index, which tracks seven of Hong Kong's biggest developers, has risen 11% in the past six months.

In June this year, Sun Hung Kai Properties bought a site in the Ho Man Tin district for approximately US$1.4 billion. At approximately US$1,615 per square foot, it was the highest price paid in a government auction in urban Hong Kong since the market peaked in 1997.

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