MOST Hong Kong stocks fell, led by property companies, on concern the government may change rules on home sales, hurting earnings, and after Goldman Sachs Group Inc lowered its share-price forecasts for Chinese developers.

Hang Lung Properties Ltd paced declines after the Standard newspaper said the government and Hong Kong's Real Estate Developers' Association will enforce common guidelines on the saleable area of properties.

Guangzhou R&F Properties Co dropped after Goldman Sachs said risks to Chinese developers' earnings were increasing. Losses were limited after brokerages raised their ratings on Hutchison Whampoa Ltd and Bank of East Asia Ltd.

"Limits on the saleable area of homes may raise prices and hurt developers' sales in the short-term," Castor Pang, strategist at Sun Hung Kai Financial & Co in Hong Kong, told Bloomberg News. "There's some uncertainty. Investors are being cautious in a market that's under consolidation."

The Hang Seng Index lost 0.1 percent to close at 25,513.71, with two stocks retreating for each that gained. Shipping companies gained after the price of carrying raw materials jumped.

Hang Lung Properties, the third-largest builder by value in Hong Kong, lost 1.1 percent to HK$30.45 (US$3.90), halting a two-day, 3.5-percent advance.