The Straits Times
Published on Sep 06, 2012

Hong Kong to restrict foreign homebuyers from 2013


HONG KONG (AFP) - Hong Kong on Thursday announced the first step in a policy aimed to restrict foreigners from buying property, in a move seen to be targeting mainland buyers who have been blamed for pushing up property prices.

Chief executive Leung Chun-ying said only Hong Kong permanent residents will be able to buy flats to be built on two sites that will provide around 1,100 homes next year under a so-called "Hong Kong land for Hong Kong people" policy.

Resale of the residential units will be restricted to locals for 30 years and incorporated companies will also not be allowed to purchase them.

The policy was part of Mr Leung's election promises to tackle the housing woes in the city of seven million before he was elected into office in March.