published_or_final_version / Housing Management / Master / Master of Housing Management

published_or_final_version / Urban Studies / Master / Master of Social Sciences

published_or_final_version / Real Estate and Construction / Doctoral / Doctor of Philosophy

published_or_final_version / Business Administration / Master / Master of Business Administration

published_or_final_version / Housing Management / Master / Master of Housing Management

published_or_final_version / Housing Management / Master / Master of Housing Management

(Uncorrected OCR) ABSTRACT In Hong Kong, due to the government's strong intervention in the housing market, the housing subsidy system and rationing on owner-occupation and the public rental housing sector have significant impact on households' tenure decisions. As laid down in the first and second Long Term Housing Strategy respectively in 1987 and 1998. the government adopted an active policy of promoting home ownership towards privatization via various subsidies, like the Home Ownership Scheme (I IOS) and the I lome Purchase Loan Scheme (HPLS). During this period, property ownership was also regarded as an inflation-resistant investment and an effective wealth accumulation vehicle. Unfortunately, the property market slump following the 1997 Asian Financial Crisis has come to mean Ihe cessation of the "wealth escalator" function of property ownership. In view of lackluster property market and the political pressure, the government took the unprecedented decision on 13 November 2002 to extricate itself from the role as a direct provider of subsidized sale flats, allowing market forces to address the problem. A new Home Assistance Loan Scheme (HALS) was introduced on 2 January, 2003 as a phase process. On 14 July 2004. the Hong Kong Housing Authority (HA) also ceased the provision of 1IALS in order to be freed from the heavy financial burden. Currently, the subsidized home ownership of 1 long Kong is abolished. It is noted that structural changes that characterize the housing and labor markets in the new age of global economy are creating some impact on housing market behavior. As the risks arising from the higher incidence of unemployment, low wage work and volatile housing prices increase, homeowners now prudently, re-assess the terms and conditions before committing to mortgage arrangements. This research centers on investigating the determinants of tenure choice from the approved purchasers of HALS and their views over producer and customer subsidies to home ownership, i.e. HOS versus HALS. '1'hc findings in this paper reveal that factors like age, family structure and income of the household do carry weight in the decision-making process of property purchase. With diversifying social composition nowadays, singletons have become a growing source of homeowners in recent years. The research also indicates that despite certain reticence during the economic turmoil, home purchase instead of renting remains a fundamental priority, and stagnation in purchase is largely due to financial constraints. Moreover. homeowners are now more cautious in taking up loans and are generally more concerned about housing affordabilily and the early repayment of debt. Additionally, they are less inclined to attain higher social status through filtering up the housing ladder, and lend lo place more emphasis on use value, ontological security and / abstract / toc / Housing Management / Master / Master of Housing Management