Flat-for-Flat Scheme for Elderly Owners 2026 | Application Requirements, Procedures, Fees, and Important Notes

The Housing Authority will accept the first batch of "Flat-for-Flat Scheme for Elderly Owners” in September 2026. The program allows eligible senior homeowners to sell their existing units in the secondary market without paying additional land premiums and purchase a smaller or more remote unit. This "downsizing" or "exchanging from an urban area to a more remote area" strategy allows them to use the proceeds from the sale as retirement savings. The program will be launched as a pilot program with 3,000 slots available for a two-year period.

• Applicants must be 60 years of age or older.
• All registered family members in this unit must be 60 years of age or older.
• Owners must have held the title to a subsidized sale unit under the Housing Authority for 10 years or more.
• Newly purchased subsidized housing units must have a smaller usable area than existing units, or be located in more remote areas (divided into four public housing districts: urban areas, extended urban areas, new territories, and outlying islands).
• A successful application for and issuance of a "transaction license" is required, and the application fee is $500.

Since the Housing Society implemented a similar flat-for-flat scheme in 2019, the Housing Authority's new "Elderly Owners Flat-for-Flat Scheme" will expand on the basis of the Housing Society's pilot program, and it is recommended to entrust the property management to the Housing Society. Seniors who intend to apply should pay special attention to the application process when the Housing Authority formally accepts applications.

1. Submit an application

Owners of housing units designated for subsidized sale by the Housing Society/Housing Authority need to apply for a "Trade Down Permit" or "Certificate of Availability for Sale".

2. Qualification review and issuance of certificates

Once the review is approved, the homeowner will receive the aforementioned certificate with no time limit.

3. Sale of existing units

Owners can sell their existing units, which have not paid the land premium, to buyers holding a valid "Certificate of Eligibility to Purchase" without paying the premium in the "Flat-For-Sale Scheme (FFSS) Secondary Market".

4. Apply for a new purchase certificate

After completing the transfer procedures for the existing unit, the applicant can apply for a "Certificate of Eligibility to Purchase" from the Housing Society or Housing Authority (White Form Status).

5. Purchase of new units without additional land premium

Owners holding new purchase certificates can purchase a smaller or more remote unit without paying the land premium at the Housing Society's "FFSS Secondary Market" or the Housing Authority's "HOS Secondary Market" and sign a provisional sale and purchase agreement.

Elderly homeowners

• By trading down from a large property to a smaller one or from an urban area to a more remote area, senior homeowners can cash out the price difference and flexibly allocate it as liquid funds for retirement savings, thus enjoying greater financial freedom.
• The extra cash flow from upgrading to a new home can be used for medical or daily expenses, improving the quality of life after retirement.
• As children grow up and move out, managing a large apartment can become a physical burden for seniors. This plan allows senior homeowners to purchase units that better suit their needs and also simplifies home cleaning.
• The plan aims to break the "green form" restriction that allows only one use per person in a lifetime, enabling elderly homeowners to reselect suitable housing in the secondary market for Home Ownership Scheme flats without paying additional land premiums.

Overall society

• The market is releasing more large units or units near urban areas to families in need, facilitating the turnover of subsidized sale units.

background

Mr. Wong (70 years old) and his wife (63 years old) have lived in a 400-square-foot Home Ownership Scheme flat in Tsuen Wan (Extended Urban Area) for over 20 years without paying the premium. They have no children and hope to have more liquid funds as reserves after retirement. They do not mind moving to a more remote location.

Participate in the "Elderly Residents' Housing Exchange Program"

1. Mr. Wong paid HK$500 to apply for a "Trade Down Permit".

2. After the review was approved, Mr. Wong sold the 400-square-foot old unit in Tsuen Wan for HK$3.5 million in the Second Market without paying the land premium.

3. Mr. Wong applied for a new “Certificate of Eligibility to Purchase” and purchased a suitable unit in Yuen Long (New Territories, a relatively remote area) for HK$1.6 million in the secondary market. The unit was approximately 300 square feet (smaller in size).

4. The elderly couple moved into their new home and had an additional HK$1.9 million in cash reserves.

Need to readjust to the living environment

Senior homeowners eligible to apply for the relocation program must have lived in their unit for at least 10 years and are usually familiar with the community and have established a certain lifestyle in their original area. Moving to a new residence means needing to rebuild neighborly relations and adapt to a new environment, which may pose certain challenges for seniors.

Transportation and living facilities in remote areas

Remote areas often suffer from issues such as infrequent public transport and limited shopping convenience. Elderly homeowners planning to relocate from urban centers to such areas should carefully consider whether the local transport network facilitates their own travel and visits from their children, and whether local amenities meet essential daily needs—such as grocery shopping, purchasing household supplies, and access to recreational facilities and medical care.

Medical and emergency support

Elderly homeowners may have a greater need for medical and emergency support services. When choosing a new unit, they need to pay attention to whether the medical facilities in the area meet their living needs, whether it is convenient for daily medical treatment and follow-up visits, and whether the community health support is sufficient.