My name is Sister Fong, I am 50 years old and I am a well-off tenant of a public housing estate. This morning, as usual, I was sitting on the sofa in the living room, drinking a cup of hot tea and reading the newspaper. Suddenly, a news headline caught my eye: "Policy on well-off tenants in public housing to be spiced up! My heart sank and the tea cup in my hand trembled slightly. I read the news carefully and realized that the new policy would raise the rent level of well-off tenants and adjust the income and asset limits. I couldn't help but worry about the impact these changes would have on me and my family's lives. I pondered in silence, remembering the past.
The Subsidized Housing Committee of the Housing Authority has endorsed the tightening of the Double Rent Policy for well-off tenants in public rental housing (PRH), which will be fully implemented from September this year. The new policy will increase the additional rents for well-off tenants and lower the income limits for them, with tenants having to pay 2.5, 3.5 and 4.5 times the rents respectively according to their income levels. Regarding the implementation details of the policy, the HKHS will issue tenancy renewal notices in phases to about 25,000 tenants who are not yet covered by the well-off tenants policy. Tenants will be required to declare their income regularly and move out of their flats within four months if they do not accept the new terms. The impact of this policy has been significant. Currently, about 4,000 to 5,000 new tenants have been included in the terms of the well-off tenants policy, and nine of them are paying double rent. In addition, the HKHS has repossessed 140 flats.
1. **Increase in rent**: Under the new policy, the higher the multiplier of household income over the limit, the higher the multiplier of rent to be paid. This means that some elderly people may have to pay higher rents.
2. **Declaration requirement**: Elderly persons are required to declare household income and assets every two years. If they refuse to declare or fail to do so within the specified period, the tenancy agreement may be terminated.
3. **Voluntary Quit Arrangement**: If the elderly move out of their public housing flats voluntarily, they can retain their Green Form status for four years, which will allow them to purchase subsidized housing during this period.
4. **Non-reportable**: Elderly persons aged 60 or above who are in receipt of CSSA or eligible for DA may be exempted from income and asset declaration.
Who are exempted from income and asset declaration under the Double Rent Policy?
Under the 2025 well-off tenants policy, the following households are exempted from income and asset declaration:
1. all members are aged 60 or above
2. all members receive Comprehensive Social Security Assistance (CSSA) payments
3. all members are eligible for/receiving Disability Allowance from the Social Welfare Department
4. all members are made up of different combinations of 1, 2 and/or 3 of the above categories
5. Sharing a flat under a tenancy agreement
Tightening the well-off tenants policy
The Subsidized Housing Committee (SHC) of the Housing Authority (HA) endorsed on 21 March the measures to tighten the "well-off tenants policy" in public housing, with the aim of speeding up the turnover of public housing flats and encouraging upward mobility of well-off tenants, as highlighted below:
Existing policy
🔷 PRH tenants are required to declare biennially their income, assets and ownership of residential properties in Hong Kong.
🔷 Households are required to move out of PRH if their household income exceeds five times the current income limit or if they own residential properties in Hong Kong, etc.
🔷 Tenants who do not own any domestic property in Hong Kong and whose income is more than two times but not more than three times are required to pay 1.5 times rent;
🔷 More than three times, but not more than five times, double rent is required.
new measure
🔷 Increase in additional rents
🔷 Households with income exceeding 2 times but not exceeding 3 times are required to pay 2.5 times rent
🔷 Households with more than 3 times but not more than 4 times rent are required to pay 3.5 times rent
🔷 Households with more than 4 times but not more than 5 times rent are required to pay 4.5 times rent
Adjustment of interest rate limit for relocation
🔷 Tenants are required to move out of PRH if their income exceeds four times but not more than five times their income in two reporting cycles.
A "well-off tenant" refers to a PRH household whose household income or assets exceed the limits set by the HA. According to the latest rules, any PRH household whose income exceeds five times the limits or whose total net asset value exceeds 100 times the limits will be regarded as a "well-off tenant" and will be required to move out of the flat. The HA will adjust the income and asset limits for PRH with effect from April 1, 2025, with an overall increase of about 1.7%.
Below is a table showing the latest PRH income and asset limits for 2025-2026:
It should be noted in particular that if the household income exceeds five times the limit or the net asset value exceeds 100 times the limit, the PRH flat must be surrendered. In the case of a one-person household, for example, a monthly income of $65,450 or a net asset value of more than $2.91 million will be considered as a situation where the household has to move out.
Income items are required to be declared:
🔹 Income from employment (before tax) (including income from family members working overseas)
🔹 Employer-provided allowances (including education allowance, housing allowance, etc.)
🔹 Self-employment income and income from operations
🔹 Average monthly interest, bonus and dividend income from time deposits, insurance and various investments
Income from land/property, etc.
Commercial Vehicle Revenue
🔹 Monthly retirement benefits
🔹 Any other income (e.g. CSSA payments for individual family members, financial assistance from relatives or friends not residing with the family, divorce alimony, etc.)
Assets are required to be declared:
🔹 Deposits, cash and loans lent
Investment
Business operations
Vehicles
Taxi/Public Light Bus License (with vehicle)
🔹 Property (e.g., commercial, industrial properties, parking spaces, etc.)
Frequently Asked Questions:
1. When do public housing tenants have to report?
Ownership of residential properties in Hong Kong: Reporting to the HA is required once every 2 years.
Households who have resided in PRH for 10 years or more: declaration of household income and assets is conducted once every two years.
2. What do I need to declare?
The head of household and all family members of a public housing tenant are required to report to the HA every two years from the commencement of their stay in the public housing unit:
Ownership of residential properties in Hong Kong
Whether they live in public rental housing flats on a regular and continuous basis
🔹 compliance with the terms of the tenancy agreement in relation to living conditions
Reporting Methods:
The HA will issue a declaration form to tenants in April each year, which needs to be completed within one month, and the content of the declaration form is as follows:
Hong Kong Residential Properties
🔹 Family Income
🔹 Total net worth of the household
The new cycle of declaration under the well-off tenants policy has begun. 210,000 public housing tenants of the Housing Authority (HA) will receive the "Declaration of Accommodation Situation" and the "Declaration of Well-off Tenants Policy" through their mailboxes starting from April 1, and tenants and their family members are required to declare their financial position truthfully, and return the forms on or before May 31st.
PRH tenants/family members are required to declare truthfully:
Declaration of Well-off Tenants Policy
Income and assets
🔹 Whether you own any local residential properties (including any properties or uncompleted flats for which you have signed a Temporary Agreement)
🔹 Estimated Date of Execution of Deed of Assignment and Completion of Sale and Purchase
Declaration of Residence
🔹 Declare whether or not you are continuously living in the flat
🔹 Whether the flat is left empty or used for unauthorized purposes
Notes on Declaration:
🔹 Complete and sign the two forms and return them to your estate office on or before May 31st.
🔹 Public housing tenants and family members who fail to make truthful declaration can be subject to termination of tenancy and even prosecution
🔹 Tenancies of PRH flats to be terminated for refusal, late declaration
🔹 Tenants who have abused public housing or breached the tenancy conditions, such as loss of vacant units for subletting, non-occupation of units and illegal use, etc., will not be eligible to apply for public housing for five years upon termination of the tenancy agreement
🔹 Consequences of false declaration, once discovered, the family member may face a five-year ban on applying for public housing and may be prosecuted
Recently, the HA announced a series of measures to tighten the "well-off tenants policy" for public rental housing (PRH), with a view to speeding up the turnover of PRH flats and ensuring more effective allocation of resources to needy families. These reform measures include changing the "well-off tenants policy" from a "three-tier system" to a "four-tier system", namely "Ordinary well-off tenants", "Higher well-off tenants", "First-tier well-off tenants" and "Super well-off tenants". Among them, "well-off tenants" will be the most affected, as they will be required to pay up to 4.5 times of the rent and surrender their flats after exceeding the prescribed limits for four consecutive years.
The implementation of the new policy will have far-reaching implications on existing PRH tenants, especially those who are recognized as "well-off first class tenants", who will face higher rents and more stringent declaration requirements. Despite the fact that there is a four-year buffer period under the new policy and the first batch of affected households will not have to move out until 2029 at the earliest, the changes have aroused widespread concern and discussion.
However, these reform measures have come too late and are not strong enough. It is estimated that these measures can only vacate about 400 PRH flats, which is far from enough to meet the current demand. In addition, some PRH tenants may deliberately omit or under-declare their income to avoid being recognized as "well-off" tenants, which also poses a challenge to the implementation of the policy.
In order to tackle these problems more effectively, the article suggests adopting a "Musk-like" radical reform by utilizing artificial intelligence and big data technology to inventory the misuse of public housing, so as to make the best use of limited resources to help the most needy grassroots families. Such a reform will not only enhance the efficiency of policy implementation, but also ensure fairness in resource allocation, thus truly achieving the original policy intent.
All in all, the reform of Hong Kong's public housing system is a necessary and urgent issue. It is only through more stringent and effective measures that we can ensure that public housing resources can truly benefit families in need and realize social justice and equity.
DECCs can take the following steps to assist elders in completing the Residency Declaration Form:
1. **Establishment of a specialized help desk**: A specialized help desk will be set up in the center, where staff or volunteers who are familiar with the contents of the declaration form will be available to provide assistance at any time.
2. **Organization of workshops on form filling**: Workshops on form filling are organized regularly to explain in detail to the elderly the methods and points to note in completing the declaration forms and to provide them with examples and practical guidance.
3. **Provision of one-on-one counseling**: one-on-one counseling is arranged for the elderly, who are patiently guided to fill in the declaration forms and answer their questions according to their individual needs.
4. **Preparation guide**: produce a simple and easy-to-understand guide with steps and examples for completing each section and distribute it to the elderly for reference.
5. **Language support**: Multi-language assistance in completing the form is provided to ensure that elders with different language backgrounds can understand the contents of the declaration form.
6. **On-site service**: On-site service is provided to the elderly with mobility problems or special needs to help them complete the declaration forms at home.
7. **Establishment of a hotline**: A dedicated hotline will be set up for the elderly to call at any time to seek help and guidance in the process of completing the form.
8. **Assistance in Submission**: Help the elderly to collect and centrally submit the completed returns to ensure that the deadline is met.
These measures can effectively help the elderly to complete the declaration of their living conditions smoothly and reduce their stress and difficulties.
Enquiry:
For enquiries, PRH tenants may contact the estate office or call the HA hotline at 2712-2712.
If you would like to know more about the above community information, please feel free to contact the above organizations. If you want to know the latest social welfare information in Hong Kong, please remember to follow us closely or if you have any questions or need any assistance, please feel free to leave a message to us, we will try our best to answer your questions and provide you with appropriate assistance.
Source:
Housing Department's Policy on Well-off Tenants
