Moving to Hong Kong: A Guide for Expats and Digital Nomads

Nestled on the southern coast of China, Hong Kong is a bustling metropolis known for its vibrant economy stunning skyline, and rich cultural heritage. As a global financial hub, Hong Kong attracts both international investments and skilled workers from all over the world, making it an ideal place to build a career.

Hong Kong’s wold-class infrastructure makes it particularly appealing to remote workers, while its strategic position makes it ideal for nomads wanting to explore Asia. The city offers a dynamic environment where ancient traditions coexist with modern innovations, providing a stimulating atmosphere for both work and leisure.

While the economy of Hong Kong has traditionally been driven by finance, trade, and logistics, the government has been actively promoting innovation and technology to diversify its economic base. This makes Hong Kong an attractive destination for entrepreneurs and digital nomads looking to tap into the growing opportunities in Asia.

However, moving to Hong Kong requires careful planning, particularly in understanding visa requirements, local customs, and the cost of living. With the right preparation, Hong Kong can be an ideal base for expats and digital nomads looking to explore Asia's vast potential.

Step 1: Before moving to Hong Kong: Prepare your documents

Before embarking on your journey to Hong Kong, it's essential to ensure you are eligible to live and work in the city by securing the appropriate visa.

Visa requirements for expats and digital nomads in Hong Kong

Hong Kong’s unique international and political situation means there are different requirements for visitors of migrants from different backgrounds.

Residents of Mainland China, Macau, and Taiwan
If you are a resident of Mainland China, Macau, or Taiwan, you may have specific entry requirements and visa types. Mainland Chinese citizens, for example, need an Exit-Entry Permit (also known as a Two-way permit) for traveling to and from Hong Kong and Macau (EEP) and relevant endorsements. Macau residents can travel visa-free, while Taiwanese citizens typically require a Pre-arrival Registration.

Visa requirements for other nationals
For citizens of most countries, a visa is required to stay in Hong Kong for extended periods. Visitors from many Western countries can stay for up to 90 days without a visa, but for work or long-term residency, you’ll need to apply for the appropriate visa. However, for longer stays, residency, or other purposes, a visa is usually required.

Application process

The application process for a Hong Kong visa typically involves submitting various documents, including a valid passport, proof of your qualifications, a job offer letter or business plan, and the completed application form. Your employer or sponsor usually handles this process.

Duration and renewal

Visas are generally issued for the duration of the employment contract or the business's operational period, often ranging from one to two years. Renewals are straightforward but require updated documentation and continued sponsorship.

It’s advisable to begin the visa application process well before your planned move to Hong Kong to avoid any delays. The process includes submitting documents and potentially undergoing a medical examination.

Securing the appropriate visa is crucial for expats and digital nomads aiming to establish themselves in Hong Kong, providing legal residency, work authorization, and access to local services.

Visa types in Hong Kong

Hong Kong offers a variety of visas catering to different needs:

Visa sponsorship

Most employment visas in Hong Kong require sponsorship from an employer. However, visas like the Investment Visa or those under the QMAS may not require traditional sponsorship, but you must still meet specific criteria related to business or talent.

Moving to Hong Kong: Essential document checklist

To avoid delays or complications, it's important to gather all necessary documents early in the visa application process. Depending on the type of visa you are applying for, you may need the following:

Importance of authenticating and translating documents in Hong Kong

It is essential to have your documents authenticated and, if necessary, translated into English or Chinese. Some documents may also require certification by your home country’s Ministry of Foreign Affairs and the Hong Kong Immigration Department.

Step 2: Manage your finances in Hong Kong

Hong Kong is known for its robust economy and high standard of living, but it also has a cost of living that can be quite high, especially in areas like Central and Kowloon. Here's how to effectively manage your finances in Hong Kong:

Cost of living in Hong Kong

Here’s what you can expect in terms of living costs in Hong Kong:

Renting: A one-bedroom apartment in central Hong Kong can cost around HKD 18,000-25,000 (USD 2,300-3,200) per month, while in less central areas, prices may drop to approximately HKD 12,000-15,000 (USD 1,500-1,900).

Buying property: The real estate market in Hong Kong is one of the most expensive in the world, with prices varying significantly by location. Additional costs include stamp duty, legal fees, and agent commissions, which can total around 15-20% of the purchase price.

Food and drink: Groceries in Hong Kong can be pricey, especially for imported items. However, shopping at local markets can offer some savings. Dining out at a mid-range restaurant might cost around HKD 300-500 (USD 38-64) for two people.

Transport: Public transportation in Hong Kong is efficient and relatively affordable, with a monthly pass for buses, trams, and the MTR costing around HKD 500-600 (USD 64-77). Car ownership is less common due to the high costs of parking, fuel, and road tolls.

Utilities: Utilities in Hong Kong, including electricity, water, and gas, can cost between HKD 1,500-2,500 (USD 190-320) per month, depending on the size of your accommodation and usage. Internet and TV packages generally cost around HKD 300-500 (USD 38-64) monthly.

Taxation

One of the financial benefits of living in Hong Kong is the relatively low tax rates. The city follows a territorial taxation system, meaning you are only taxed on income earned within Hong Kong.

Salaries tax rates range from 2% to 17%, depending on your income bracket. However, it's important to be aware of your tax obligations in your home country, as you might still be liable for taxes there. Hong Kong has signed several double taxation agreements with other countries to avoid being taxed twice on the same income.

Banking and currency exchange

To open a bank account in Hong Kong, you'll typically need your passport, proof of address, and employment or business-related documents. Most banks in Hong Kong offer services in English and cater to the needs of expats and international clients.

Hong Kong's currency is the Hong Kong Dollar (HKD). Currency exchange services are widely available, and ATMs accepting international cards are common. For favorable exchange rates, using bank services or exchange platforms is recommended.

Managing your finances wisely in Hong Kong will ensure you enjoy the benefits of the city's high standard of living while navigating its unique cost structure effectively.

Step 3: Arrange housing and accommodation in Hong Kong

Securing the right accommodation is a crucial step in your relocation to Hong Kong, as it affects not only your comfort but also your lifestyle and budget.

Renting vs. buying

Both renting and buying property are options available to residents in Hong Kong, though property ownership can be extremely expensive, making renting the more common choice for expats.

Renting: Renting is the most popular option for expats in Hong Kong, particularly in areas like Central, Wan Chai, and Kowloon. The rental market offers a wide range of options, from compact studios to luxury apartments. When renting, you'll typically need to provide proof of income, a copy of your passport or ID, and a deposit equal to two months' rent. Lease agreements usually run for one to two years, with rent paid monthly.

Buying property: While buying property in Hong Kong is possible, it is one of the most expensive real estate markets in the world. Expats can purchase property but should be aware of high additional costs, such as stamp duties that can reach up to 30% for non-residents. Despite the high costs, owning property in Hong Kong is seen as a long-term investment and can provide permanent residency eligibility under certain conditions.

Finding suitable housing

Hong Kong offers a variety of housing options, from high-rise apartments in urban areas to more spacious living in suburban districts. Websites like Squarefoot and Spacious are excellent resources for finding available properties.

For expats, key considerations include proximity to work, international schools, shopping centers, and public transportation. Popular expat neighborhoods include Mid-Levels, Happy Valley, and Discovery Bay, known for their amenities and community atmosphere.

Once you've selected a property, carefully review the lease agreement, which should include:

• Property description: A detailed overview of the property's features and condition.
• Rental amount and payment details: Information on how and when rent is to be paid.
• Security deposit: Usually equivalent to two months' rent.
• Lease duration: Terms may be fixed for one to two years, with the possibility of renewal.
• Maintenance responsibilities: Clarify who is responsible for repairs and maintenance.
• Policies on pets and subletting: Some properties have restrictions on pets or subletting. Understanding these aspects will help you secure the best possible living arrangement in Hong Kong, making your transition smoother and ensuring a comfortable and enjoyable expat experience.

Step 4: Job market and working arrangements in Hong Kong

Hong Kong's job market is vibrant, with significant opportunities in sectors like finance, trading, logistics, healthcare, education, and technology. The city's status as a global financial hub underpins its economy, attracting professionals from around the world. Additionally, Hong Kong's initiatives to diversify its economy, such as investments in innovation and technology, are creating new opportunities in areas like fintech, creative industries, and green finance.

The average monthly income in Hong Kong varies depending on the industry and level of expertise. Generally, salaries are competitive, and many expats enjoy benefits like housing allowances, medical insurance, and education allowances for their children. Job seekers can explore employment opportunities through platforms like LinkedIn, JobsDB, and Glassdoor.

Remote work: While traditional in-office work has been the norm in Hong Kong, remote work is gaining acceptance, especially in response to global trends and the impact of the COVID-19 pandemic. However, it remains less prevalent than in many Western countries.

Work culture: Hong Kong's work culture is fast-paced, with a strong emphasis on efficiency, professionalism, and respect for hierarchy. Business relationships are often formal, and building trust is key. While Cantonese is the dominant language, English is widely used in business, especially in multinational companies. Proficiency in both languages is advantageous, but English alone is often sufficient in many professional settings.

Step 5: Accessing healthcare and education in Hong Kong

Healthcare system

Hong Kong offers a high-quality healthcare system, with both public and private healthcare options available. Public healthcare is heavily subsidized and provides comprehensive services through the Hospital Authority, making it accessible to residents, including expatriates.

Private healthcare in Hong Kong is also widely available, offering quicker access to specialists and more personalized care. However, it comes at a higher cost. Many expats opt for private health insurance to ensure broader coverage and access to private hospitals and clinics.

Education options

Hong Kong provides a wide range of educational options, catering to both local and expatriate families. While public schools offer high standards of education, expats often prefer enrolling their children in private or international schools, where English is the primary language of instruction. These schools offer various curricula, including British, American, IB, and others.

Hong Kong is also home to prestigious higher education institutions, including the University of Hong Kong (HKU), the Chinese University of Hong Kong (CUHK), and the Hong Kong University of Science and Technology (HKUST). These universities offer a wide range of undergraduate and postgraduate programs, attracting students from around the world.

Education standards in Hong Kong are high, and the city’s multicultural environment provides students with a globally oriented education, making Hong Kong an attractive destination for families.

Step 6: Ensuring your safety in Hong Kong

Safety overview

Hong Kong is known for being one of the safest cities in the world, with low crime rates and a strong emphasis on public safety. While the risk of petty crime is minimal, it’s still advisable to take standard precautions, particularly in crowded areas or during large events.

While the political situation in Hong Kong is overall stable, there has been an uptick in civil unrest and protests in recent years.

Hong Kong has a well-developed emergency response system, and the city is well-prepared to handle natural disasters such as typhoons, which are common during certain seasons.

Emergency Contacts and Protocols

In case of an emergency, dial 999, the national emergency number in Hong Kong, which is free to call and connects you to police, fire services, or medical assistance. Operators typically speak English and Cantonese, but knowing a few basic phrases in Cantonese can be helpful in critical situations. It’s also wise to familiarize yourself with your neighborhood's location, nearby hospitals, and clinics for quicker response times.

Step 7: Embracing Hong Kong culture

Hong Kong customs: Greetings in Hong Kong are usually formal, especially in business settings. A firm handshake is the norm, and business cards are exchanged frequently, with both hands and a brief moment of examination. Titles and respect are important, so address people formally unless invited to use their first names.

Dress codes: Hong Kong has a formal dress code, especially in business environments. Business attire typically includes suits for men and professional dresses or suits for women. Outside of work, casual clothing is acceptable, but modesty is still appreciated, particularly in religious or traditional settings.

Social norms: Punctuality is highly valued in Hong Kong, and it’s seen as a sign of respect. Privacy and respect for personal space are important, and communication tends to be polite and indirect. Public displays of affection are generally discouraged, and maintaining a professional demeanor in public is advised.

Leisure culture: Hong Kong has a vibrant leisure culture, offering a mix of modern and traditional experiences. From bustling shopping districts and high-end restaurants to traditional markets and serene temples, there’s something for everyone. The city is also known for its outdoor activities, with hiking trails, beaches, and parks providing a break from the urban hustle.

Kick-off a new adventure in Hong Kong

From the iconic skyline of Victoria Harbour to its lush parks, Hong Kong offers expats a unique blend of modernity and tradition, along with a wealth of opportunities, including a dynamic job market, high-quality healthcare, diverse educational options, and a rich cultural experience.

If you’re considering a move to Hong Kong, thorough research and careful planning are key to a successful relocation. For additional visa support, Deel can assist organizations and their employees with the application process and help them navigate the complexities of finding suitable insurance plans.

Discover how Deel can help you secure a work visa, or explore the Deel blog for more insights on relocating to Hong Kong and other global destinations.