Govt Mulls Delinking Subsidised Flats, Market Rate

The government revealed on Friday that it is looking into the possibility of whether the cost of subsidised housing units could be set independently from the market rate.

Currently, flats under the Home Ownership Scheme are sold at about 70 percent of the market price.

During a special open meeting of the Housing Authority, some members said that the subsidised flats are still too expensive for many because of the red hot property market.

Speaking after the meeting, Housing Secretary Frank Chan said the government is studying how the public's affordability can be better reflected.

"We are in the process of reviewing the sales pricing of subsidised flats and as soon as we come to a decision, we'll promptly inform the public," said Chan after the meeting.