The terminology around Hong Kong elderly homes is one of the most common sources of confusion for families. "Private", "subvented", "contract", "self-financing" — these words describe different things, and mixing them up leads to bad decisions. This guide separates the two axes that actually matter: who operates the home, and how each place is funded.
Two separate axes: operator and funding
Every place in a Hong Kong elderly home sits at the intersection of two questions. First, who operates the home — a private company, or a non-governmental organisation (NGO) subvented by the government? Second, how is this particular place funded — is it a subsidised place (paid for partly by the government, allocated via the Central Waiting List), or a private place (paid for entirely by the resident)? A single home can operate places on both axes.
| Term | Refers to | What it means |
|---|---|---|
| Private home | Operator | Operated by a private company, licensed under Cap. 459 |
| Subvented home | Operator | Operated by an NGO, receiving a government subvention |
| Contract home | Operator + funding | A private home that has contracted with SWD to provide subsidised places |
| Self-financing | Funding | A place not subsidised; the resident pays the full fee |
| Subsidised place | Funding | A place partly funded by government, allocated via the waiting list |
Why a single home can offer both
A contract home is the clearest example of why these axes are separate. A contract home is a private operator that has signed an agreement with SWD to set aside some of its places as subsidised. At that same home, the places not under contract are private places, charged at the home's private fees. So a single building, single operator, single licence can contain both subsidised places (HK$2,060 resident fee) and private places (HK$15,000+ private fee). This is why our directory lets you filter by funding — because the home that appears in a subsidised search may also appear in a private search, with a completely different price.
Frequently asked questions
What is the difference between a private home and a contract home?
A private home is operated by a private company and is licensed under the Residential Care Homes (Elderly Persons) Ordinance. A contract home is a private home that has additionally signed an agreement with the Social Welfare Department to provide subsidised places. So a contract home is a type of private home — the same building can contain both private places (full private fee) and subsidised contract places (HK$2,060 resident fee). The operator is private in both cases; the difference is whether some places are government-contracted.