The Government's Scheme to Sell Public Rental Flats Citizens Party has been holding meetings with public housing residents in New Territories East over the past month. The questions and views expressed were consistent across estates. We have collated their views and believe that the Government's scheme could be successful if a clear strategy is formulated to enable tenants to participate in the scheme. What is reasonable is both objective and subjective as it depends on condition of the flat, location and a potential buyer's ability to pay the monthly mortgage payment.
Many tenants are willing to have an independent party value the property to determine price.
Tenants accept that they will also have to pay a monthly management fee, plus quarterly land rent and rates. They factor these payments into their overall assessment of affordability. The most important motivation to buy is the fear that the Government will increase public housing rental in the future. Tenants have a strong desire to stabilize cost for accommodation. Very few tenants mentioned as their motivation that they want to make an investment, although many expect to be able to resell as an owner.