'My Home Purchase Plan\r'

' below this contrive, the giving medication will provide land for the HKHS (Hong Kong caparison Society) to build â€Å"no-frills” small and medium tights for study to eligible applicants at prevailing market place rent. The tenancy period will be up to five-spot years, within which the rent will not be adjusted. Within a specified age frame, tenants of the Plan may get the flat they rent or an some other flat under the Plan at prevailing market determine, or a flat in the private market. They will receive a subsidy equivalent to half of the net term of a contract they perk up paid during the tenancy period, and use it for soften of the down makement.\r\nThe presidential term has already earmarked sites in Tsing Yi, rhombus Hill, Sha Tin, Tai Po, Tuen Mun and other atomic number 18as for a total of both(prenominal) 5000 flats to be built under the Plan. The first go through will provide about 1000 flats in Tsing Yi by 2014. In the point of view of the po litical relation, they would uniform to wisely spending the funds of back uping the sandwich class with flexibility in their home purchase excogitate, including the choice of opting to purchase the flat they rent, another flat under the externalise, or a flat in the private market; which also want to armed service on slowing down the raising on both rental and purchasing prices currently in the market.\r\nThe Government thinks that the current price in the market has been raised too fast and too laid-back which is not a health saturation and resume forming up an â€Å"Economic Bomb”. As the â€Å" airscrew Market” is one of the main factors with Hong Kong’s economic environment, if the â€Å"Bomb” pops, Hong Kong’s economic will be affected badly. But in the other hand, the Government does not want to affect the growth of the touchable estate too much and too fast, then the Government implies with this soft plan in cab atomic number 1 8t to balance with the situations.\r\nFor the tax payers, they are mainly obscure in to 2 groups: the group which cannot enjoy with the plan and the qualified applicants. For those who do not stupefy the remediate to enjoy with the benefits are mainly the grave deal who are either already owning a flat, or those mountain who are not qualified due to higher(prenominal) incomes. These people might not feel halcyon with the Government’s actions. For those who have already possess their own place, when the Government load-bearing(a) plan comes, that style in that location will be more people able to buy their own place.\r\nIn the final stage few years, the economic situation of Hong Kong was not good and people were very careful on employ their money, which made the banks dropped their bear on rate of borrowing in separate to attract people to borrow money either on buying flats or other usages. With the needs on mortgaging is rising due to this computer program, the interest rate will then have the electromotive force on rising. This will affect to those people who already own their own place for living have to pay more on the mortgage pay back or need to extend the time of pay back as the raising of the interest.\r\nThe Government has setup very tight rules on the incomes and assets on qualifying the applicants for the supporting program in order to make sure all the qualified applicants are the users of the properties. Those people who do not qualify for the program due to higher income might be the almost unhappy group as they would think the Government does not take care of them. Since the dimension prices have been increased so much in the endure 5 years, although they have higher incomes, they motionlessness cannot generate the down payment on purchasing a place.\r\nFor the group of people who are the qualified applicants, of carry they will be very concerned for this supporting program. However, they have to wait until the sec ond half of 2014 for the build completion and there will be unless 5000 units, which is really â€Å"Too Little Too late! ” Another problem is that, the Government now estimating that the price of a 500 feet unit is 3 million, which would alone apply to those flats in the remote areas.\r\nThe prices for the urban residents are already far outstripped with it. Who can predict and insure how would the real estate pricing will be later 7 years of time (The mean building will be completed after 4 years, the applicants have to rent and live there for 3 years before they can own)? In case of the property prices continue rising, those 300 gee which is going to be rebate from the Government still not enough to pay for the down payment.\r\nIf the property prices rapidly decline, those applicants will be falling into a dilemma situation. Overall, to solve the housing difficulties of Hong Kong there are many ways, how the â€Å"My post Purchase Plan â€Å"may receive with the desired results really depends on the succeeding(a) development of the real estate market trends. However, the â€Å"My Home Purchase Plan” does not really may not really be able to help on the current unhealthy situation on the property market.\r\nIn my opinion, I would suggested the Government should plan on some relaxation on the income situate for public housing and pay more tutelage on taking care of the middle and displace class families. In fact, the magnitude of increase in property prices and rents, is seriously out of the line with the customary public’s income, which directly affecting the flavor of life. The Government should pay more attention on how to plan on the public housing sum up and how to make better use of resources balance.\r\n'