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If the family's income exceeds this limit,

they will be required to relinquish the tenancy within one

year and to find alternative accommodation either by buying

a Home Ownership flat or moving into the private sector.

If they opt to buy a Home Ownership flat, they are given

priority under the Green Form system.

In the case of large extended families who

occupy more than one flat under the same tenancy, each nuclear family will be subject to the income limit of $7,500 and treated accordingly.

Since the implementation of the new policy

on inheritance in November last year, 251 applications for the inheritance of tenancies have been received by the Housing

Department. Of these: 247 second generation families have

been permitted to inherit the tenancies; 2 have been found

to exceed the income limit; and the remaining 2 own other domestic properties.

The present limit of $7,500 is higher than

the Waiting List limit and is considered to be quite

generous. While families in private sector housing are barred from applying for Home Ownership flats when their

income exceeds $7,500, second generation families in public

housing are not restricted by this limit. Furthermore they

are given Green Form status which allows them a much better

chance of getting the Home Ownership flat of their choice.

The recommendations of the Committee on Housing

Subsidy may have some bearing on the inheritance issue but,

judging from the very small number of unsuccessful cases,

we do not feel that there is a need at the moment to review

the inheritance policy. However, the issue will be further

considered in the light of the recommendations of the

Committee on Housing Subsidy and the public comment on them.