Buying a Flat under TPS
The Tenants Purchase Scheme (TPS) was introduced by the Hong Kong Housing Authority (HA) in 1998. In 2002, the Government reviewed its overall housing policy. In support of the Government's repositioned housing policy, the HA terminated the TPS after the sale of TPS Phase 6B in 2005 / 2006. According to prevailing policy, sitting tenants in TPS estates can still opt to purchase their flats.
Owners' Benefits and Protection
Owners can enjoy the following benefits and protection:
|New tenants who purchase TPS flats within two years from commencement of the tenancy can enjoy special credits;
|They can enjoy a full credit if they buy within the first year and a half credit in the second year;
|After the second year, no credit will be given.
|Note: Market rent payers at the time of approval of their offer to purchase, ex-TPS owners and any authorised persons in reverted tenancies are not entitled to enjoy special credits.
|Repair to in-flat maintenance request will be carried out prior to sale;
|The HA provides a 7-year Structural Safety Guarantee;
|The HA contributes a Maintenance Fund towards each TPS estate.
|Owners can manage their estates through the formation of Owners' Corporation pursuant to the Deed of Mutual Covenant and the Building Management Ordinance;
|By forming Owners' Corporation, owners can decide on estate management issues and monitor the use of management fees and the use of the Maintenance Fund.
|A safety net is provided to TPS flat owners. Subject to the recommendation by the Director of Social Welfare as well as the verification and the approval of the Director of Housing, a flat owner who faces sudden changes in his / her family circumstances within five years from the date of first assignment of the flat may apply for reverting to the tenant status upon sale of his / her flat back to the HA. After five years from the date of first assignment of the flat, the owner of the flat which will be / has been taken over by a mortgage bank on financial grounds can apply to the Social Welfare Department for compassionate rehousing. Upon recommendation by the Director of Social Welfare and verification and approval of the Director of Housing, the flat owner will obtain allocation of another public rental housing flat from Housing Department and resume the tenant status.
|For a TPS flat, the date of first assignment of the flat refers to the date when the HA assigns the flat to a purchaser for the first time.
|Under the current policy, the HA will not accept the resale application of a flat after the expiry of the 5-year resale restriction period from the date of first assignment.
Please click the following links for more details on TPS:
- Eligibility - Eligibility criteria for buying TPS flats
- Application Guide - Application matters and cost for buying TPS flats
- Mortgage Arrangement - General mortgage arrangement and application for consent to obtaining staff housing mortgage loans
Use and Occupation
Owner(s) shall use the TPS flat for private residential purposes only and ensure that the flat shall be occupied by the owner(s) and all the members of his family (Authorised Occupants) listed in the Letter of Offer. If, without obtaining the prior written consent of the HA, any of the Authorised Occupants, including the owner(s), ceases to actually or permanently live in the flat for whatsoever reason(s) and for whatsoever period(s), the HA has the absolute right to require the owner(s) to assign the flat back to the HA.
Buying a Recovered TPS Flats under Home Ownership Scheme (HOS), Green Form Subsidised Home Ownership Scheme (GSH) or Public Rental Housing (PRH) Express Flat Allocation Scheme (EFAS) Sale Exercise:
The 2019 Policy Address proposed that the HA make active preparations with a view to accelerating the sale of the existing unsold flats in the TPS estates. Thereafter, Subsidised Housing Committee of the HA endorsed in 2020 putting up recovered TPS flats for sale in the HOS and GSH sale exercises to eligible Green Form (GF) applicants, and reviewing the sale of recovered TPS flats after two sale exercises. The HA endorsed in 2023 regularising the sale of recovered TPS flats, setting the target buyers of recovered TPS flats as those with Green Form status and eligible applicants of EFAS, and putting up TPS flats which remain unsold at the end of an HOS or GSH sale exercise for sale in the EFAS exercise which immediately follows. Eligible applicants who would like to have further information on the HOS and GSH sale exercises and EFAS, please visit the sections on “Sale of HOS Flats”,“Green Form Subsidised Home Ownership Scheme” or “Express Flat Allocation Scheme” of this website.
Please click the following links for more details on recovered TPS: