Six top tips for moving to Taiwan

With taiwan being one of the top choices for many Hongkongers looking to buy a home as part of plans to move abroad, Taiwanese publication United Daily News asked Century21 to address the six most common inquiries.

What are the requirements?

According to the principle of equality and reciprocity between Hong Kong and Taiwan, as long as you have a Hong Kong permanent identity card and a BNO or SAR passport, you can buy a property in Taiwan.

What are the procedures?

Buyers must register at the Taiwan Land Office. After receiving approval, they can buy properties locally.

The documents Hong Kong people need to prepare for real estate purchases is the same as that of other foreign prospective buyers applying for land. They will have to provide a land registration application form, land right change and tax payment, reciprocity related documents, purchase and sale transfer contract, and land ownership certificate, etc.

If the applicant is not familiar with the procedures, it is recommended they find a credible real estate agent.

What taxes have to be paid for home ownership?

Buyers are required to pay deed tax, with the tax rate for foreigners set at 6 percent.

How is the residential area calculated in Taiwan?

Taiwan calculates the residential area in ping - and one ping is 35.58 square feet.

Can I apply for a mortgage?

Hong Kong people who want to apply for a mortgage loan from a Taiwan bank need a long term residence permit and work qualifications before the bank will assess their financial status. Otherwise, the buyer must pay the property price in one payment.

Where do Hongkongers like to settle in Taiwan?

The most popular area for Hongkongers is New Taipei City. With 2,774 Hong Kong residents, it has more than Taipei City at 2,418 and Taichung City at 1,392, but Taichung's year on year increase is the highest among the six cities.

According to statistics from Taiwan's Ministry of the Interior National Immigration Agency, the number of Hong Kong residents who went to Taiwan last year rose 14.1 percent year on year to 5,858. At present, 1,474 Hongkongers have been granted settlement permits, a 35 percent increase from the previous year and a new high in recent years.

On an additional note, Century21 reminded Hongkongers that the money used for buying home in Taiwan does not count toward the NT$6 million (HK$1.58 million) required for investment immigration.