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The "Overall Housing Policy" was approved by the Executive Yuan on May 24th 2005.

Provided by: Public Housing


Contact: Szu-Li Sun(TEL: 02-87712636)

Subject: The “Overall Housing Policy” was approved by the Executive Yuan on May 24th 2005.

Abstract: The “Overall Housing Policy” document


Overall Housing Policy

For a long time, the housing policy in our country has been focused on helping housing purchase for the public, separately offering housing subsidies in the area of public housing, worker’s housing, civil servant’s housing and military serviceman’s housing, and providing housing loan for the first-time home buyers as well. However, lacked of the vision and the prospect of overall housing development, it is necessary to review the current status and issues and to enact a thorough policy for the overall housing development.

Under the social and political transformation, the increasing aging population, the changing family structure, the expanding gap between the rich and the poor, and the growing mobile population are current key issues. In addition, the disadvantaged minority back to the community, social cohesion, and depending on non-profit organizations to take care housing needs of the minority groups are also the new global trends. The mechanism and policy of national housing subsidies and housing assistance need to be reviewed and integrated.

The demand and supply in our housing system has been unbalance, and the housing prices have fluctuated. According to the census and housing data in 2000, vacant housing rate was as high as 17.6%. The huge vacant housing has resulted in hoarding capitals and affected the steady of economy. Apparently, a sound housing market is important for society and the economy.

Currently, the amount of available houses has surpassed the total number of households, and the proportion of home ownership has reached 82%. For the public, the housing requirements will be not only the raise of home ownership, but also the enhancement of the living standard. This policy is outlined taking the local and international political context, economic status and social development into consideration.

I. Goal of Policy

Based upon the protection of basic human rights in the Constitution, the resources of the governments and the private are integrated to provide our citizens with different level of income, physical and mental conditions, genders, age, family structure, ethnicity and culture, to own and reside in a decent living environment. It will be achieved by the policy on planning for a sound housing market, conducive living standard, fair and efficient subsidy mechanism and social housing plans.

II. Principles of Policy Enactment
(I) Respecting market operation function

Under the spirit of a free economy, this policy does not directly interfere with the demand and supply of the housing market, but provides two mechanism, legislations and institutions. Through legislations, a sound selling and leasing market for a fair trading between the seller and buyer is provided. Through institutions, sufficient housing information system is established and released; housing financial mechanism, demand and supply guidance and quota planning for the housing market are promoted; appropriate supply and demand in the selling and leasing market is facilitated. The policy ensures the rights for both the provider and the consumer.

(II) Upholding social justice

In order to offer appropriate housing for middle and low income residents and the disadvantaged, the housing subsidy is adjusted to integrate governmental organizations and resources and to strengthen the assistance of leasing measures by substantial subsidies or administrative assistance.

(III) Encouraging citizen participation

The private sector and the third sector are encouraged to participate for the input of private resources and vitality. Using subsidies and assessment promotion facilitates citizen participation in order to build better living environment from individual housing, community, to town and country, and from a point, a line to an area.

(IV) Protecting housing rights

In terms of housing market and living standard, the civilian accessibility and diversity in leasing or buying a house is protected. Moreover, the supply for accessible and humane houses for the disabled and the elderly is increased, to create conducive living environment for the elderly, the temporarily or permanently disabled, women, and children, consequently, to convey a message of social cohesion and respect for human rights.

III. Contents of Policy

To achieve the goal of the overall housing policy, in line with the principle of the policy enactment, the following contents are outlined in the area of constructing a sound housing market, building an efficient housing subsidy system and enhancing housing environmental quality:

(I) Construction of Sound Housing Market

  1. . Constructing institutions and legislations for a sound housing market: (1) Constructing institutions and legislations of leasing and selling housing market: To protect the rights for the provider and consumer in the housing leasing and selling market and to promote the quality and quantity of trading in the housing market.(2) Enhancing the institution of housing related industries or service industry: To facilitate the management or assessment of housing related industries and service industry for the references of the consumers.
  2. Enhancing the establishment and release of housing and real estate related information:(1) Enhancing the investigation of housing related information and the establishment of housing database: To increase and improve the regular investigation and statistic analysis of basic housing information for the government agency to control the supply and demand condition of the housing market and provide timely guidance. (2) Building housing information release mechanism: In order to provide sufficient information for the provider and consumer to achieve the fare trading, the private sector and the third sector building real estate market information release mechanism is encouraged.
  3. Facilitating the guidance and quota planning for supply and demand in housing market: The central and local governments adopt quota planning based on the analysis of housing supply and demand conditions, regularly propose annual and midterm and long term housing plans, and enhance the connection with national land plan system.
  4. Strengthening the promotion of housing financial mechanism: Housing loans and land construction loans are stabilized to build the complementary function between the financial market and the housing market.
  5. Protecting the accessibility and diversity for the disadvantaged and minority people for housing leasing or buying:(1) Prescribing the unprejudiced laws in leasing or buying houses: Prevent the disadvantaged minority groups from discrimination in leasing or buying affordable housing due to personal or family financial status, mental or body conditions, gender, age, family structure or ethnic and cultural differences.(2) Encouraging and providing the house leasing and buying information tailored for disadvantaged minority groups: Encourage the private sector and the third sector to provide house leasing and buying information tailored for the minority groups.
  6. Encouraging the establishment and renovation of accessible and humane residence: To encourage the private sector and the third sector to develop or renovate accessible housing for the disabled, through floor area incentive and administrative assistance in the acquisition of land use.

(II) Establishment of Fair and Efficient Housing Subsidy System:

  1. Provide suitable and diverse housing subsidy schemes or administrative assistance for disadvantaged and minority groups:(1) Instead of current housing subsidy schemes based on occupation, the disadvantaged conditions of citizens will be the major consideration for housing subsidy system.(2) Under the condition that all types of housing are sufficiently supplied in the market, the government should not build more houses or encourage construction investment of housing plans.(3) For disadvantaged minority groups without home ownership or with deteriorated housing to be improved (including low income families, the disabled, the aged living in solitude or with spouse, victims of family violence and their children, single parents, AIDS carriers, indigenous people, homeless people and victims of natural disasters), housing assistance is provided through housing leasing, residential environment improvement, subsidy for construction or house buying, and houses with discounted rent. (4) Through government bidding or negotiating of interests, the bank can provide low interests loans for middle and low income citizens to build, renovate or buy decent houses.
  2. Establish a fair application qualification and inspecting mechanism:
    (1) The application of subsidy is inspected according to family income, home ownership, mental and physical conditions of applicant, family condition or other conditions.(2) The receiver’s qualification is regularly examined, and subsidy is discontinued for those who fail the examination. (3) Living standard examination is added. The house bought or rented by the subsidy receiver should reach the local minimum living standard.
  3. Encourage the private sector and the third sector to develop and manage houses suitable for the disadvantaged and minority groups: Provide the disadvantaged and minority groups in different levels with houses by offering leased houses, houses for sale or shelter homes. According to the type of houses, administrative assistance or substantial subsidy are provided such as floor area incentive, superficies for public land for non-public use, construction accommodation for interest incentive, land use change and acquisition, loan credit assurance or promotion of citizen participation in public construction.
  4. Encourage on-site care-taking and diverse housing care for the disabled: Encourage the public to provide diverse housing care and daytime care-taking for the disabled and on-site care-taking to replace the conventional large, 24-hour dorm care-taking so as to downsize the institutionary structure for looking after the disabled.
  5. Establish post-disaster housing restoration and reconstruction mechanism: Based on the experience of housing reconstruction plans after the Sept. 21 earthquake and July 2 flood, the response strategy and mechanism to major natural disaster or other emergency are established, such as temporary housing supply and settling for the short term, rent subsidy and housing renovation subsidy for the mid term, and housing reconstruction and relocation plans for the long term.

(III) Enhancement of Living Environment Quality

  1. Improving individual housing quality: (1) Establishing a system for minimum living standard: A minimum living standard for each local area is set to serve as a basis for government renovation subsidy and renewal incentive schemes, and act as an indicator for residential environment improvement.(2) Promoting renewal of city deteriorated housing: Promote reconstruction plans for housing that does not meet the building code and rules and cannot be improved, such as sea sand housing, radiation housing and other housing rendered uninhabitable due to natural disasters, and promote demonstrative projects of city renewal plans for reconstruction, renovation and maintenance.(3) Promoting high quality housing: Promote a review system for green building, residential function appraisal, and community construction, management and maintenance, and encourage high quality living environment.(4) Promoting residential safety maintenance: In addition to strengthen and integrate prevention and rescue strategies for natural disasters, such as fire, typhoon, flood and earthquake, other residential hazards such as falling from buildings and gas leak, need relevant prevention strategies for ensuring residential safety.
  2. 2. Improvement of community environment quality: (1) Building public improvement system for condominium building or community environment quality: Encourage apartment building or non-profit organization to carry out renovation projects on outer walls of the apartment buildings and community environment renewal plans for public spaces, by giving out substantial subsidy and evaluation incentive.(2) Establishing encourage institution for town and country landscape renovation: Encourage the combination of local cultural character with public construction, and subsidize local governments implementing demonstrative projects in urban design, parks and green space, street corners landscaping, and the management of advertising objects .(3) Strengthening management and improvement for matters that would affect the environment: Strengthen regulations on violating buildings, condominium buildings and urban planning, and enhance management and improvement for matters that may affect the environment. Strengthen the inspection for vacant, old buildings that may affect the township landscape or local safety, and improve the situation according to the law.
  3. Promoting accessible housing and accessible community environment for the disabled: (1) Promoting house designs for people with different physical and mental capability: Research the feasibility of establishing accessible house design standard and making old buildings into accessible houses for the disabled.(2) Encouraging accessible design in housing outside space: Encourage the private sector and the third sector to enhance accessible facilities for the disabled in the public space for condominium buildings and other urban spaces.

IV. Implementation of Policy
(I) Enacting the Housing Act, Enforcement Rules and revising relevant regulations:

  1. After the policy has passed the review, the implementation will follow, and the enforcement rules are to be stipulated by the Ministry of Interior.
  2. The legislation and administrative schemes involving social benefit, building, urban planning, land, real estate in the enforcement rule are to be revised by responsible government authorities, and rules that cannot be revised in current law will be incorporated into the new Housing Act for implementation.

(II) Integration of organizations and resources

  1. Integrating staff and organizations of housing affairs among central government agencies : In line with the restructuring policy of central government, the agencies (including the Ministry of the Interior, Ministry of National Defense, Council of Labor Affairs of the Executive Yuan, Council of Indigenous People of the Executive Yuan, Council of Agriculture of the Executive Yuan, Civil Service Housing and Welfare Committee) are integrated to organize a housing administrative agency or government authority, or to establish an individual housing department.
  2. Integrating housing related business and budgets in central government: Integrate housing subsidy, housing information and housing (including condominium building and community) quality relative businesses, housing budgets or funds that are scattering among the central government agencies.
  3. Integrating local housing affairs: Housing affairs, staff, and budgets of each municipal city and county, city governments are integrated into one organization in accordance with the Local Government Act.

(III) Ensuring central and local governments to share out the rights and liabilities

  1. Establish model of central government guiding local governments: According to the Local Government Act, housing affairs is one of the self-governing items for municipal cities and county, city governments. Also, because of the variation of local housing requirement, central government would provide suitable guidelines and assistances for local governments to promote housing construction based on the national development trend and policy requirement. The governments of municipal city, county and city draw and implement mid-term and long-term housing plans and annual projects according to the governor’s policy direction and local financial status.
  2. The budget for mid-term and long-term housing plans and annual projects are provided by local governments, and the funding and inspection system to guide the national housing development is subsidized and reviewed by central government.
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