What is the Green Home Ownership Scheme?
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Many Hong Kong people have heard of the Green Form Subsidised Home Ownership Scheme (GSH), but what exactly is it? How do you apply? The GSH scheme is an important subsidised housing scheme launched by the Hong Kong government in 2011. Due to the long-standing, massive demand for public housing in Hong Kong coupled with limited supply, waiting times have been continuously lengthening. Facing the growing pressure on citizens' living conditions, the government hopes to encourage existing public rental housing (PRH) tenants to purchase the units they reside in or other designated GSH properties at a discounted price through the scheme. This not only enables them to "achieve home ownership," but also frees up their PRH units for other people in need, accelerating the overall circulation of public housing resources. Since its development, the GSH has been launched in multiple phases, selling over ten thousand units, and has become one of the strategies to address the shortage in Hong Kong's housing market.
The full name of GSH is "Green Form Subsidised Home Ownership Scheme," so the primary target for GSH applications are households with "Green Form" status.
Green Form Application Eligibility
- Applicants must be at least 18 years old
- Tenants of PRH units under the Housing Authority / tenants or elderly housing unit tenants of rental estates under the Hong Kong Housing Society
- Holders of a valid "Certificate of Eligibility to Purchase" issued by the Housing Department or the Urban Renewal Authority
- Beneficiaries of the Housing Authority's "Rent Allowance for Elderly Scheme"
GSH Application Eligibility
In addition to those with "Green Form" status, applicants for the GSH scheme include the following individuals:
- Individuals affected by government clearance programs or natural disasters who have been verified as eligible for public housing
- Individuals affected by urban renewal projects who have been verified as eligible for public housing
- Divorced/separated persons who have been verified as eligible for public housing
- Beneficiaries of the "Rent Allowance for Elderly Scheme," provided that the beneficiary and their family members have not breached any terms of the rent allowance agreement.
- Applicants for purchasing subsidised sale units must not have owned any residential property in Hong Kong from 24 months prior to the application closing date until the signing of the sale and purchase agreement for the units in this sales scheme. Any applicant or family member listed on the application form who had signed an agreement (including a provisional agreement) to purchase any residential property in Hong Kong within the 24 months before the application closing date, and whose agreement was subsequently cancelled or rescinded, remains eligible to apply.
GSH Application Process
In the GSH application process, applicants must submit relevant documents, including proof of income, proof of identity, and current address, to the Housing Department during the designated application period. Once the application passes the review, the applicant will be allocated a quota. Please note that GSH scheme applicants can "select a flat," but cannot "choose the unit"; applicants will be invited to the "Flat Selection Centre" in batches according to the sequence determined by a computer ballot. Due to the limited supply of GSH projects and the large number of applicants, applicants can only choose from the available units. If one selects a unit early in the waiting sequence, there is a wider range of units to choose from; if one's sequence is later, they may face a situation where few units remain or those left have less desirable locations or views. Therefore, although applicants can choose their preferred units, the actual range of units available is very limited.
Regarding resale restrictions, GSH units have resale limitations to prevent speculation. According to the latest regulations, GSH buyers can only resell their units to the Green Form Subsidised Home Ownership Scheme Secondary Market at a price not exceeding the original purchase price within the first five years. Only thereafter can they sell to Green Form holders in the Green Form market. Furthermore, if a buyer wishes to sell on the open market after paying the premium, they must wait for at least 15 years, which is longer than the previous 10-year restriction.
Design House HK Renovation Packages for PRH and GSH Units
Given the restrictions on resale and subletting, GSH or PRH units are generally for self-use, so naturally, the renovation should be perfect. Design House HK's renovation packages for PRH and GSH units feature design schemes provided by interior designers that integrate functionality with aesthetics. Combined with an experienced construction team, we can effectively handle the structural limitations of public housing to optimize space utilization and create a unique, warm home. Contact our customer service team now to schedule a consultation with a designer; we look forward to serving you. In the next article, we will discuss the Home Ownership Scheme (HOS) in detail.
