Study On The Financing Problem Of Public Housing

public housing policy is a kind of social security to solve the housing problem in low-income people, an important guarantee to reflect social justice, to maintain social stability. With the deepening of the reform of the housing system, the real estate industry became the pillar industry in China, housing prices are rising rapidly, but at the same time the housing problem in the low-income people in our country is more serious. In recent years, the housing system for low-income people in our country has become more and more perfect, such as the low-cost housing to solve the housing problem of the lowest earners,the economy applicable housing and the price fixing housing to solve housing problems of Middle-income families,the Public rental housing to solve the housing problem of "Sandwich layer", These measures alleviate the housing contradictions in our country. Although the public housing system coverage for the different income of the crowd, but the problem is still outstanding, the construction of low-cost housing, the access conditions of economy applicable housing is not properly solve, so we know the high income people living economy applicable housing, the economy applicable housing became villa, These problems reveal the flaws of the public housing system and also tell us the short supply of public housing. The Real Estate Market in our country appears the long-term prosperity, but the development of. public housing market is very slow.Housing is a basic human need, under the condition of market economy, according to the theory of perfect competition market, whether it is ordinary housing or public housing should be adjusted by the market, only the adjustment of the market can make the optimal allocation of resources, so as to achieve the optimal Pareto. But the market also has malfunction, the low income groups will live without the room if completely follow the market. This will not only affects the economic, but also affects the stability of a society. From the perspective of demand for housing and housing supply, China’s housing contradiction is very outstanding.but in the present stage our country residents’ ability to pay housing is not growth with the economic growth and the salary increases, one of the reason lies on the commercial housing prices rose at an alarming rate in recent years.In this paper, we analysis our public housing system, then summary the reasons for the slow development of public housing. In the present stage, problems appeared in the fund areas. The government did not try their best to solve the funds problem because the land revenue is their important financial revenue. Secondly, China’s housing security financing mode is single, not bold use of capital market, there is no innovation financing mode; Third, China’s housing security existing funding sources are not stable, sources of funding on low rent housing and affordable housing are mainly concentrated in the proceeds of land transfer and the value of the fund.Then the paper analysis the public housing patterns of several typical countries and areas. In our country, to solve the problem of financing, government financial investment is not large, and the fiscal and taxation support strength is also not great, our country does not have a complete system to guarantee the stability of housing fund. In Britain, the United States, Germany and China Hongkong region, they all have the public housing system to protect the low income crowd, no matter in the financial investment or in the tax support are more than our country. To solve the housing problems of low-income groups, these countries and regions have a sound housing security system, such as in the housing finance system, from regulation, land protection, preferential tax policies, housing finance security and other aspects to protect fund sources, Also actively take market-oriented means to solve the problem of financing. In the UK, the public housing expenditure proportion of fiscal expenditure is more than25%every year. They follow a strict rent control, the housing association that a non-profit institutions to improve the housing system. German contract deposit mode similar to the British housing association to draw residents savings, but it is a close run savings system, and the German government also rewarded for the residents of housing savings, encourage residents to deposit money into the housing savings bank, we all know the United States is a developed market economy countries, but in order to solve the housing problems of low-income groups, they have very perfect financial system support, there are government security agencies and private security agencies to support the low-income groups.in China’s Hongkong region has a unified regulatory agencies-HA responsible for the housing system, ensure that the residents have rooms to live. On the basis of these, this paper finally put forward several suggestions. China’s housing security financing is not a complete system, to perfect our public housing system, we should Strengthen the legislative, regulatory, specialized housing finance, national finance and taxation policy and housing support agencies such as guarantee mechanism, evaluation mechanism. Only The protection of the government, housing security financing problem can be really solved. In order to attract developers, the government must improve developers profit in the other aspects. Therefore the government could try different financing mode, such as the use of government land, tax policies to attract commercial real estate developers, encourage social security funds, insurance funds and other funds that pursuit stable yield to invest public housing, as we know insurance funds and social security funds is the pursuit of stable income, and stable cash flow is one of the main characteristics of public housing, we also need to use the power of capital markets, private residents to solve housing security funds. For example, we take the welfare lottery mode to raise private funds, of course we must innovative welfare lottery system, this can greatly raise the very small scale, idle but very substantial funding. We can also transfer The rights of Ancillary commercial facilities to the developers, so this can increase public housing value and attract developers to invest public housing.The main innovation of the paper is:first, the Innovation of topic.previous literature foucs on a particular mode of financing, such as REITS, and bonds, a point of this article is:before carrying out specific financing, our country must be in the policy levelperfect, for example, improve the taxation system, to improve the capital market, formation the unique public housing system.second, second, the paper tries to present some new modes of financing, such as the housing lottery mode, the mode of the monopoly right to operate commercial facilities,"Fund+financing platform" mode.