The Open University of Hong Kong held a press conference on the research findings of ‘OUHK HOS Price Index’ today (6 October).
The research team includes (from left) Honorary Assistant Professor of the OUHK School of Arts and Social Sciences Dr Roger Lo Ki-chiu, Dean of the School cum Director of the Public and Social Policy Research Centre (PSPRC) Prof. Charles Kwong Che-leung, Associate Professor of the School cum Deputy Director of PSPRC Dr Michael Ng Chi-man, and Assistant Professor of the School cum Research Fellow of PSPRC Dr Arbitor Ma Yiu-chung.
Chairman of the OUHK Council Mr Michael Wong mentioned that the ‘OUHK HOS Price Index’ constructed by the research team offers an effective indicator to the market.
According to the 'The Long Term Housing Strategy' announced by the HKSAR government in 2019, the public/private split of new housing supply will be raised from 60:40 to 70:30 to address the social demand for public housing. At present, the major housing price indices mainly reflect the price trend of private properties despite an increasingly important role of subsidized housing in the market. In light of this, the Public and Social Policy Research Centre (PSPRC) of The Open University of Hong Kong (OUHK) has recently conducted a research to construct the 'OUHK HOS (Home Ownership Scheme) Price Index', which provides an indicative reference for the price trends of the housing market.
The research study on tracing the transactions and price changes in the HOS secondary market was led by Dean of the OUHK School of Arts and Social Sciences cum Director of PSPRC Prof. Charles Kwong Che-leung, with members including Associate Professor of the School cum Deputy Director of PSPRC Dr Michael Ng Chi-man, Assistant Professor of the School cum Research Fellow of PSPRC Dr Arbitor Ma Yiu-chung, and Honorary Assistant Professor of the School Dr Roger Lo Ki-chiu. 50 HOS estates with the highest transaction volume in the past 15 years are selected as the constituent estates of the index. The Hedonic Pricing Model is adopted to analyze the market price per square feet of all constituent estates. The OUHK HOS Price Index is calculated as the ratio between the market value of all constituent estates in the current period and the base period.
A press conference on announcing the research findings was held today (6 October). The research findings revealed that both the price levels in the HOS secondary market and the private property market have been increasing from January 2006 to June 2020, while the price change of the former one is more prominent. The result also shows that the 'White Form Secondary Market Scheme' implemented by the government since 2013 has a significant impact on subsidized housing.
The Chairman of the University Council Mr Michael Wong Yick-kam mentioned that the 'OUHK HOS Price Index' constructed by the research team offers an effective indicator to the market. He said, "All the data are collected from actual transactions, reflecting the real situations in the market. Meanwhile, the construction of this index has adopted a similar methodology as the one for private property market, which is easy for the public to understand and make comparison. I believe the 'OUHK HOS Price Index' not only serves as an important reference for the industry and citizens who have home-buying needs, it also provides an objective data analysis for policy makers to evaluate the impact of various housing policies and economic conditions on the subsidized housing market."
Prof. Kwong stated that since the establishment of the PSPRC in 2019, it has been serving as a platform for global and local experts to gather and exchange ideas on important public and social issues and foster cross-disciplinary knowledge exchange and collaboration, with main focuses on Housing and Aging policies. Socioeconomic-relevant policy research on Hong Kong issues from social science perspectives are conducted to generate and disseminate innovative thinking, policy analyses and advice. He hoped the research outputs generated will offer policy analyses and advice to public policy decision-makers, and inform the Hong Kong general public the implications of alternative policy options.
About ‘OUHK HOS Price Index: https://ss.ouhk.edu.hk/hos/
About the OUHK:
Established by the Government in 1989, The Open University of Hong Kong (OUHK) has developed into a full-fledged university providing high quality and flexible university education at various levels to secondary school graduates and working adults. As a dynamic and innovative university, the OUHK currently offers programmes of different academic levels to about 10,000 full-time students and 9,000 part-time students. Our mission is to advance learning, knowledge and research that meet students' learning aspirations and society’s talent needs, focusing on practical and professional programmes.
OUHK comprises six Schools, i.e. School of Arts and Social Sciences, Lee Shau Kee School of Business and Administration, School of Education and Languages, School of Nursing and Health Studies, School of Science and Technology, and Li Ka Shing School of Professional and Continuing Education (LiPACE). LiPACE provides lifelong learning opportunities by offering full-time sub-degree programmes, community learning and professional programmes.
OUHK website: www.ouhk.edu.hk