Ways to Sell a GSH Flat
Owners of Green Form Subsidised Home Ownership Scheme (GSH) flats can sell the flat through different ways, depending on the length of time from the date of the first Deed of Assignment of the flat from the Housing Authority (HA) to an owner (first assignment). The following alienation restrictions will apply to the owners for the sale of GSH flats:
| (a) | Within the first two years from the date of first assignment: |
| The owner has to offer to sell the flat to the HA. Under existing policy, the HA will not buy back the flat, but will exercise the power under the Housing Ordinance (Cap. 283) to nominate a buyer. The flat is to be assigned to a nominee of the HA at the original purchase price (Note) in accordance with the procedures and requirements as from time to time stipulated by the HA. The HA will issue a certificate certifying the owner’s eligibility to find an eligible purchaser (who needs to be a buyer holding a Green Form Certificate of Eligibility to Purchase (GF CEP holder)) and the owner has to identify at his/her own costs and expenses an eligible purchaser who will apply to the HA for nomination. If (i) no application for nomination is made to the HA or if all submitted applications are unsuccessful with no nomination being made by the HA within 6 months from the date of receipt of the offer to sell the flat to the HA; or (ii) after a Letter of Nomination has been issued by the HA the assignment of the flat is not completed within 4 months from the date of such nomination, whichever is the later, the owner may sell the flat in the open market after payment of premium. If the owner does not wish to sell the flat in the open market, he/she may make a new offer for sale of the flat to the HA. | |
| (b) | Between the third to the fifth year from the date of first assignment: |
| The owner may sell the flat in the HOS Secondary Market to a GF CEP holder nominated by the HA without payment of premium and at his/her own negotiated price. | |
| The owner may also offer to sell the flat to the HA. Under existing policy, the HA will not buy back the flat, but will exercise the power under the Housing Ordinance (Cap. 283) to nominate a buyer. The flat is to be assigned to a nominee of the HA at the price assessed by the Director of Housing (which is the market value as assessed by the Director of Housing at the time when the offer to sell the flat to the HA was made, less the original discount when the flat was purchased from the HA) in accordance with the procedures and requirements as from time to time stipulated by the HA. The owner will need to apply for assessment of the price of the flat and pay the required administrative fee. The HA will issue a certificate certifying the owner’s eligibility to find an eligible purchaser (who needs to be a GF CEP holder), and the owner has to identify at his/her own costs and expenses an eligible purchaser who will apply to the HA for nomination. If (i) no application for nomination is made to the HA or if all submitted applications are unsuccessful with no nomination being made by the HA within 6 months from the date of receipt of the offer to sell the flat to the HA, or (ii) after a Letter of Nomination has been issued by the HA the assignment of the flat is not completed within 4 months from the date of such nomination, whichever is the later, the owner may sell the flat in the open market after payment of premium. If the owner does not wish to sell the flat in the open market, he/she may make a new offer for sale of the flat to the HA. | |
| (c) | After five years from the date of first assignment: |
| The owner may sell the flat in the HOS Secondary Market to a person nominated by the HA who may be a Green Form or White Form buyer without payment of premium and at his/her own negotiated price. | |
| The owner may also sell the flat in the open market after payment of premium. | |
| The HA will not accept any offer to sell from a King Tai Court flat owner after five years from the date of first assignment. |
| (a) | Within the first two years from the date of first assignment: |
| The owner has to offer to sell the flat to the HA. Under existing policy, the HA will not buy back the flat, but will exercise the power under the Housing Ordinance (Cap. 283) to nominate a buyer. The flat is to be assigned to a Green Form buyer to be nominated by the HA at the original purchase price (Note) in accordance with the procedures and requirements as from time to time stipulated by the HA. The owner is required to pay the required administrative fee for the application for offer to sell. | |
| (b) | Between the third to the fifth year from the date of first assignment: |
| The owner may either offer to sell the flat to the HA or sell the flat in the HOS Secondary Market to a Green Form buyer to be nominated by the HA without payment of premium and at his/her own negotiated price. | |
| If the owner offers to sell the flat to the HA, under existing policy, the HA will not buy back the flat, but will exercise the power under the Housing Ordinance (Cap. 283) to nominate a buyer. The flat is to be assigned to a Green Form buyer to be nominated by the HA at the price assessed by the Director of Housing (which is the market value as assessed by the Director of Housing at the time when the offer to sell the flat to the HA was made, less the original discount when the flat was purchased from the HA) in accordance with the procedures and requirements as from time to time stipulated by the HA. The owner will need to pay for the administrative fee for the application for offer to sell and for assessment of the price of the flat. | |
| (c) | After five years from the date of first assignment: |
| The owner may sell the flat in the HOS Secondary Market to a Green Form buyer to be nominated by the HA without payment of premium and at his/her own negotiated price. | |
| The owner may also sell the flat in the open market after payment of premium. | |
| Upon receipt of an application for offer to sell to the HA, the HA reserves the right to accept the assignment of the flat to the HA (instead of to a nominee of the HA) or to decline the offer, in accordance with its prevailing policy. | |
| The HA will not accept any offer to sell from a Lai Tsui Court flat owner after five years from the date of first assignment. |
The HA will not buy back or nominate a buyer (except HOS Secondary Market) to buy the flats first put up for sale under GSH 2019 and onwards.
| (a) | Within the first two years from the date of first assignment: |
| The owner has to sell the flat in the HOS Secondary Market to a Green Form buyer nominated by the HA without payment of premium and at a price not more than the original purchase price (Note) under the first assignment. | |
| (b) | Between the third to the tenth year from the date of first assignment: |
| The owner has to sell the flat in the HOS Secondary Market to a Green Form buyer nominated by the HA without payment of premium and at his/her own negotiated price. | |
| (c) | After ten years from the date of first assignment: |
| The owner may sell the flat in the HOS Secondary Market to a Green Form buyer nominated by the HA without payment of premium and at his/her own negotiated price. | |
| The owner may also sell the flat in the open market after payment of premium. |
The HA will not buy back or nominate a buyer (except HOS Secondary Market) to buy the flats first put up for sale under GSH 2022 and onwards.
| (a) | Within the first five years from the date of the first assignment: |
| The owner has to sell the flat in the HOS Secondary Market to a Green Form buyer nominated by the HA without payment of premium and at a price not more than the original purchase price (Note) under the first assignment. | |
| (b) | From the sixth to the fifteenth year from the date of the first assignment: |
| The owner has to sell the flat in the HOS Secondary Market to a Green Form buyer nominated by the HA without payment of premium and at his/her own negotiated price. | |
| (c) | After fifteen years from the date of the first assignment: |
| The owner may sell the flat in the HOS Secondary Market to a Green Form buyer nominated by the HA without payment of premium and at his/her own negotiated price. | |
| The owner may also sell the flat in the open market after payment of premium. |
The premium which the owner is required to pay is calculated based on the prevailing market value of the flat without alienation restrictions, and the difference between the original purchase price (Note) of the flat and its initial market value as specified in the first assignment. In other words, the premium is calculated by applying the discount of the original purchase price (Note) to the prevailing market value.
Purchasers should take note that the initial market value used to calculate the discount at the time of purchase is the market value prevailing at the date of the Agreement for Sale and Purchase (ASP). The sale price (Note) of flats in a sale exercise, once fixed, will remain unchanged throughout the sale period. As there is normally a time lag of a few months between the fixing of the sale price (Note) and the signing of the ASP, during which the market value of a flat may fluctuate according to the market conditions, the actual discount rate at the time of signing the ASP may be different from that when the sale price (Note) was fixed. The actual discount at the time of signing the ASP will be adopted for calculation of the premium.
Please refer to the relevant section in this website for details of the premium payment procedures.
Any purported mortgage, other charge, assignment or other alienation, together with any agreement so to mortgage, charge, assign or otherwise alienate in breach of any term or condition of the ASP or any covenant in the Deed of Assignment of the flat (“unlawful alienation”) shall be void under Section 17B of the Housing Ordinance (Cap. 283). Any person committing unlawful alienation of his/her flat commits an offence and will be subject to criminal sanction under Section 27A of the Housing Ordinance (Cap. 283).
Note: Sale price is equal to the original purchase price means the price of the flat as specified in the first assignment.
