Eight cities in China are obtaining low -interest loans from the central bank to buy idle housing for rental housing. This shows that Chinese officials are using new ways to resolve the real estate crisis.
According to the China Economic Observer, the People's Bank of China launched a total of 100 billion yuan (RMB and approximately S $ 18.7 billion) in January last year to encourage national financial institutions to issue rental housing loans, To reduce the supply of idle housing and expand the supply of rental housing.
This plan adopts a direct mechanism of "lending first and then borrowing" to guide seven national financial institutions including Workers and Peasants and China to build it to Chongqing, Jinan, Zhengzhou, Changchun, Chengdu, Fuzhou, Qingdao, Qingdao by the end of 2023, Eight pilot cities in Tianjin issue rental housing purchase loans.
However, the central bank also sets a "red line" for this housing lease loan: it can only purchase residential commercial housing (including property -type talent housing/apartment), and the acquisition of the offerings of the dealers are not allowed.At the same time, the "entire, entire unit" acquisition of the target items must be acquired, and scattered houses are not allowed in principle.
A local government person revealed that starting in March 2023, eight pilot cities have begun to find appropriate listings.
It is reported that currently Qingdao, Fuzhou and other cities use housing leasing loans to purchase commercial houses, accept leased housing and rent out.In some cities, they use the Urban Investment Platform (LGFV) as the main body of the loan and purchase existing houses in the urban investment system for affordable rental housing, which can alleviate localized debt pressure to a certain extent.
Bloomberg said that this plan highlights that China is trying to transform the housing market into the public housing model, which may help promote real estate investment and construction to reverse the downturn in the real estate market.
In addition to the leased housing loan plan, the central bank also provided policy banks with a low -cost funds of 350 billion yuan in December last year to build a project that guarantees affordable housing and refurbish the inner city of the dilapidated district.
On January 5 this year, the General Administration of the People's Bank of China and the Financial Supervision and Administration of Financial Supervision and Administration issued another opinion on the development of the financial support for the housing leasing market.Different from the above plan, this opinion encourages commercial banks to issue housing leasing groups to buy housing loans. In principle, the loan amount does not exceed 80%of the property evaluation value.
But the opinion also shows that the premise of issuing loans is that the risk is controllable, the business is sustainable, and the hidden debt of the local government is not added.
