The public housing means the house built, managed, and maintained by the people themselves with government loan and their own land.
The loan in the forgoing paragraph is limited to farmer’s, fishermen’s, salt people’s, laborer’s houses and the houses approved by the competent authority of public housing which are built in the rural village, fishermen’s village, salt-producing area, mining area and other remote area.

The applicants who apply for loan to build public housing by themselves must have a plot of building land, and its provisions of application qualification, the time limit and procedures of processing, the area of construction and other matters shall be determined by the Ministry of the Interior.

The loan borrowed under the provisions of this Chapter may be amortized in a period of more than 15 years, and the amount of the loan shall be no less than 70 percent of the building price.

For the public housing built by the borrower himself with government loan, in case of the creditor’s rights derived from the loan, the loan agency shall enjoy the first priority of the statutory mortgage on the house and its land and enjoy the priory of being repaid from the date the loan contract is concluded.

The borrower of the government loan for building public housing by himself may, after paying off the principle and interest of his loan, sell, mortgage, grant, exchange his house and land after having occupied the house for one year.

The competent authority of public housing may take back the loan and enforce this provision after ruling by the court in case there is one of the following cases happening to the public housing built with government loan by the borrower himself:
1. Illegal use of the house.
2. Failure to pay his loan principle and interest for three months even after pressing him for payment.
3. Those that violate the provisions of sale, pledge and mortgage, grant, or exchange in the foregoing article.
4. Members of one family having public housing loan or the assistant loan on people buying house themselves of more than one unit of public housing.
5. Change to non-residential use or rent and failure to restore its original use or withdraw the rental for more than thirty days after the notification. But the bed and breakfast operated pursuant to the law shall not be subject to this restriction.