Hi!
I tried to use MaterialPropertyBlock with HDRP Lit (HDRP 9.0.0-preview.33). When I appllied it to objects that I want to work with instancing I see that instancing works only on Depth Pass For Decals.
I think that maybe HDRP Lit Properties (and other shader too maybe) do not use UNITY_INSTANCING_BUFFER and use CBUFFER instead. I definitely know that it do not wok with shadergraph. If I am right I cannot use MPB with standard HDRP shaders and I would have to create my own but I hope I am wrong and I do not need to recreate HDRP shaders by my own.