Yuen Long Delivers Hong Kong's Highest 5.1% Rental Yields for Investors

Yuen Long posted the highest rental yield of any Hong Kong suburb in the second quarter of 2026, reaching 5.1 percent on median flats priced at HKD 6.8 million.

The figure matters now because foreign stamp duty concessions introduced in March 2026 have drawn new capital into the New Territories, where purchase prices sit well below the citywide median of HKD 8-10 million. Local agents report that overseas investors closed 18 percent more transactions in Yuen Long than in the same period last year.

Street-level numbers and transport links

Properties along Castle Peak Road near Yuen Long MTR station command monthly rents of HKD 22,000 to HKD 26,000 for 500-square-foot units. Further north, flats on Long Yat Road close to the Light Rail stop at Tin Shui Wai deliver similar rents on slightly larger 550-square-foot layouts, pushing net yields above 4.8 percent after management fees. Both corridors sit within walking distance of the Yuen Long Plaza shopping centre and the Ping Shan Tin Shui Wai Sports Centre, amenities that keep vacancy rates below 3 percent according to Midland Realty's June leasing report.

Recent transaction data from the Land Registry shows 142 Yuen Long sales in May 2026 with an average price of HKD 13,400 per square foot, down 4 percent from the prior year. Rents have held steady, producing the 5.1 percent yield that beats Mid-Levels by more than two full percentage points and Kowloon by 1.3 points. The same registry figures list 67 purchases by non-local buyers since the stamp duty cut took effect.

Next steps for buyers

Prospective investors should verify current mortgage rates at HSBC's Yuen Long branch and review the latest Transport Department plans for the Tuen Mun-Chek Lap Kok Link extension, scheduled to open in late 2027, which could lift connectivity and future rents. Site visits to the two corridors remain the most direct way to confirm actual floor plates and building conditions before committing funds.