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<\/p>\nTo address Hong Kong\u2018s long-standing problem of poor quality sub-division housing, the \u201cSimply Housing Ordinance\u201d was officially enacted on March 1, 2026. Hong Kong society expects that the new ordinance will further improve the housing environment in Hong Kong.<\/p>\n
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According to the Hong Kong media, the \u201cSimple Housing Ordinance Draft\u201d was approved by the Hong Kong Legislative Council on the third reading in September 2025 and entered into effect on March 1, 2025. The Housing Authority began to accept simple housing certifications from that day onwards, and a 12-month registration period also began. A Government spokesman emphasized that dealing with sub-standard sub-housing has become an unquestioned consensus in society. It is understood that the Ordinance requires sub-standard homeowners to upgrade their homes to compliant simple housing units and set eight minimum living environment standards, including an area of at least 8 square meters, indoor net height of 2.3 meters, at least one window, independent toilet, independent water and electricity meters, and requirements for fire safety, structural safety, lighting and ventilation.<\/p>\n
According to the Hong Kong media report, after registering with the Housing Authority, homeowners can enjoy a total grace period of 36 months starting from March 1, 2027 for renovation works. If the house does not meet the standard of modest housing, and does not have valid certification, nor has it been registered with the Housing Authority, renting that house unit after March 1 next year will be illegal, and the renter will be liable to criminal responsibility. The report said that the entire modest housing system is based on the principle of \u201cfirst registering, then enforcing the law\u201d, with a transition arrangement lasting up to 48 months, until February 28, 2030, aimed at giving homeowners sufficient time to carry out renovation works to meet the legal requirements.<\/p>\n
The Deputy Secretary-General of the Hong Kong Housing Authority, Wang Minghui, said on the first day that according to previous survey data from the HKSAR Government, 30 per cent of the 110,000 housing units in Hong Kong are expected to require large-scale renovations, mainly those that do not meet the minimum area requirement of 8 square meters, while the other 70 per cent need only minor adjustments, such as replacing fire and smoke doors, installing fire detectors, and equipping fire extinguishers, etc. Such units are easier to complete certification. She revealed that she has recently received enquiries from some property owners, mostly focused on technical details, including how to confirm that houses do not leak water.<\/p>\n
Chen Xianxi, Chairman of the Association of Simple Housing Operators, said that the company he operates now has about 800 sub-units, of which 90% do not need to undergo major changes, while the remaining 10% may face elimination after the lease period due to lack of windows. \u201cWe will register with the Housing Bureau as soon as possible after obtaining authorization from the original owners. Preliminary preparations have already begun.\u201d Chen Xianxi revealed that the estimated construction costs per unit are around HK $ 150,000 to HK $ 160,000. \u201cThe most important thing is to ensure that after completing the construction, it meets government standards, especially water resistance, ventilation, height measurement, etc., and we hope to have clearer guidance as soon as possible.\u201d<\/p>\n
According to the Hong Kong Headline Daily online report, after the \u201cSimply Housing Ordinance\u201d comes into effect, it is expected that many residents will have to move out of their current residential houses as subdivision homeowners take back and remodel their units. Wang Minghui said that by the end of last year, Hong Kong had 18,000 transitional housing units, and in the first quarter of this year, more than 2,000 units will be added, providing a total of more than 20,000 transitional housing units. She said that currently, the average occupancy rate of transitional housing is about 80% overall, and there is continuous turnover. After some residents move into traditional public housing, the empty units can be reallocated, and the housing turnover rate is high. She hopes that more subdivision homeowners will understand about transitional housing and simple public housing, submit applications one after another, and move into better living environments. A \u201cmoving tide\u201d will not occur.<\/p>\n
The \u201cSimple Housing Ordinance\u201d has been universally welcomed by Hong Kong residents. Wang, who moved to a subdivision in Tuguah Bay in March last year, said that the current subdivision housing environment in which a family of four lives is very poor. The houses are old and can not meet standard conditions such as fire, safety and hygiene. The ventilation is insufficient, the walls leak water from time to time, and when it rains, the inside of the house is very damp and smelly, affecting physical and mental health. She said she hopes that in the future, there will be more supply of transition houses or simple public houses located in the city area, freeing them from the poor subdivision housing environment. She said she hopes that more transition houses or simple public houses in the city area will be provided in the future to get rid of the poor subdivision housing environment.<\/p>\n
Regarding many people\u2018s concerns that rent rates for subdivisions might rise significantly after the end of the grace period, Wang Minghui said that after the Government Rent Control Ordinance came into effect, the median rent rate remained at over HK $ 5,000 for a long time without apparent fluctuations. She believed that after the introduction of the new simple housing policy in the future, market supply and demand would not change too much, and rent rates would not rise significantly. The Chairman of the Hong Kong Real Estate Agents General Association, Panda Heng, said that the 48-month transition arrangement provided by the HKSAR Government effectively alleviated the pressure on owners to reform. He said that the current market overall reacted positively, and overall did not see a large-scale exit of owners or significant rent increases. The abundant supply of simple public housing and transitional housing, coupled with the shortened waiting time for public housing, caused subdivisions to face certain market competition, alleviating the pressure on rent rises.<\/p>\n
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