Hong Kong Housing Authority and Housing Department

Within the third to fifth year from the date of first assignment [Note 1], the Tenants Purchase Scheme (TPS) flat owner may opt to sell the flat back to the Housing Authority (HA) at the buyback price to be assessed by the HA, which is the assessed market value at the time of offer deducting the original purchase discount. The owner must also return to the HA the actual amount of the special credit (if any) granted at the time of purchase. For example :

When assessing the market value of a TPS flat, the HA will make reference to the transaction prices of similar properties in the open market. The HA will deduct from the buyback price any outstanding debts of the authorised mortgage and other deductible amounts required for the buyback. The actual amount of the special credit (if any) granted at the time of purchase must also be returned to the HA. If the HA declines to accept the buyback application, the owner can sell, let or assign the flat in the open market subject to payment of a premium [Note 3] to the HA.

The owner must apply in writing to the relevant District Tenancy Management Office of the Housing Department to sell the flat back to the HA. The application will then be passed to the Housing Subsidies Sub-division for processing. The HA will charge a total of $6,910 as administrative fee, and the owner must pay the partial administrative fee of $3,610 and hand in a copy of the assignment after the HA has accepted his / her application. The HA will then contact the owner and arrange for a visit to the flat for price assessment. Upon receiving the official buyback price notification from the HA, the owner must pay the assignment fee [Note 4] to the HA within a specified period.