Study On Financing Mode Of The Low-rent Housing In China

The objective of the paper is to analysis the weakness of the investment and financing system related to low-rent housing system in China, also try to establish a new investment and financing mode of the low-rent house. The relevant idea, methods and research frame was established accordingly.After research and compare housing policies, government intervention, investment and financing modes among the United States, Japan, Singapore, England, Germany and Hong Kong, some important implications is dig out from the common ground and difference of the countries and districts. At the same time, after study the relevant literature, the researcher found foreign scholars focus on the theories of comparison of housing policy, housing security life-cycle, social exclusion and housing filter, while domestic scholars are only interested on establishing the system, financing and finance innovation. The quasi-public features, prospective business and marketability of the low-rent house and PPP pattern was analyzed in this paper, these theories provide methodology for this paper.The paper bifurcate the low-rent housing policies in the past years and distill the key points of present policy. Also review and summarize the supply of low-rent house on two phases during last decade, further describe the insufficiency of supply in current period. Then based on the beneficiary and progress of low-rent housing system the study forecast the low-rent houses and monetary allowance demands caused in the upcoming several years, and project the fund flow into the system in accordance with sources of funds stipulated in present policy, also dope out the insufficiency of fund for low-rent housing under the present mode. The paper also analyzed the lag and unsustainable of the present mode.The paper raises the principle and frame for further innovation considering about the limitation of the present mode. Then try to compose the new financing mode, wherein the following factors are involved, i.e. government basic investment, housing provident fund loan to low-rent house development, development financing and low-rent housing PPP pattern. The participators of the new mode are government, creditors and private. The key point of the new mode is to magnetize the private fund by the benefits from gov. investment, loans guaranteed by gov., low-interest loans, tax and fee preference policies, in order to get private to play the major role in the new mode, the most important of the new mode is to set up the PPP pattern. Finally, the incentive effects were analyzed in the case model, which further proves the feasibility of the new mode.