Chapter 257 Sept. 13 Positive Response to Attempts to Provide Housing for Low- and Moderate-Income Individuals

Low-rent housing is a common policy used by all countries to solve low-income housing in cities. Although there are differences between the German model, the British model, and the Hong Kong model, the core is: government subsidies to solve low-income housing, and China is no exception.The core spirit of the government's No. 24 document is to "establish a housing security system to institutionally solve the housing problems of low-income groups." As an urban housing developer, Vanke, firstly, responds to the "90-70 policy" and actively develops small-scale apartments; secondly, establishes special funds to conduct research on housing solutions for low-income families, and provides decision-making reference for the government; thirdly, constructs Demonstration low-rent housing (it can only be a demonstration and cannot be developed on a large scale), and the low-rent housing "Wanhui Building" for 1,000 households will be delivered in June 2008; fourth, Vanke made it clear that as long as the government introduces Vanke to develop Vanke will actively participate in the low-rent housing project.

Before the 1980s in China, the city implemented the welfare housing system until 1998 when this policy was abolished. The housing market was almost completely marketized. This is the process of urbanization. A large number of shantytowns were demolished, and many low-income groups were relocated. Housing resettlement, the living contradictions of low-income groups are not prominent. Since 2002, the demolition of shantytowns in major cities has come to an end, and how to solve the living contradictions of urban low-income groups has become prominent.For the already marketized housing market, housing prices are indeed on the high side, and miniaturization is an inevitable trend, just like what has been experienced in many industrially developed areas such as Hong Kong and Tokyo.However, if housing prices remain high, there will be structural adjustments in the market.

There is a department of the Hong Kong government called the Housing Department, which is responsible for the development of public housing and solves the housing problems of low-income people. The source of funds is government financial allocations.It is the current method in most countries for the government to provide housing protection for low-income earners. In 2006, Beijing issued the "90-70 Policy", hoping to strictly control the structure of the apartment type to stabilize housing prices and solve the housing problems of low- and middle-income families.But for low-income families, it still depends on the government's investment in affordable housing and low-rent housing.

Statistics show that as of the end of 2006, there were 4 million low-income households in the country with a per capita housing area of ​​less than 10 square meters.To solve the housing difficulties of 10 million households, nearly 50 billion yuan will be needed every year during the "Eleventh Five-Year Plan" period.Statistics show that since 1998, the accumulated funds for the construction of low-rent housing in the whole country are only 7.08 billion yuan, which is a very large gap.In view of this, including the construction of low-rent housing in the 2007 government work report shows that the central government attaches great importance to solving the housing problem of low-income families.

To be a large-scale developer in China, it is inevitable to face the housing problems of low- and middle-income groups.Pay close attention to the progress of the housing security system, and adjust the corresponding business of the company in a timely manner.