Research On Financing Ways Of Public Rental Housing In China

As urbanization process in China has entered a stage of accelerated development, lotsof demands for housing are brought about from the rapid growth of population in cities.Along with the huge demands, the housing prices of the real estate market continue to bepropelled to go up, causing many housing problems. Meanwhile, the insufficiency of thehousing covering space and the problem of hysteretic safeguard function are exposed. Inorder to protect vulnerable group, maintain social equity and promote social harmony anddevelopment, the government has put forward public rental housing policy to meet thedemands of the vulnerable group.However, from the construction of public rental in the major cities of China, publicrental construction progress has not been smooth. One of the most important reasons is that theconstruction of public rental is short of funds. Furthermore, the government is unable to bear alonethe responsibility of the construction of public rental. In the present situation, it is necessary tointroduce new ways of financing and actively raise funds to meet the building needs, which iscritical to the healthy and rapid development of public rental housing cause.Thus, with the background of financing of Public-Rent-House in China, the thesisintroduces the main financing ways in China, including financial budget investment, thenet income of land transferring fees, bank and fund loan, the recovered fund of rent outPublic-Rent-House and supporting facility and so on; and the thesis also shows that thefinancing of Public-Rent-House in China is overly dependent on government, the financingpattern is relatively one fold, it is lack of financial innovation, the source of funds isundefined and the financing efficiency is low. The thesis also has a deep analysis on thereasons of those problems, which mainly display in the imperfection of capital market, thelack of professional financing institutions, the low yields of the Public-Rent-House projects,the limitation of government financial funds and the incompetence of related systems.WithChina’s specific conditions and drawing on international advanced experience, the thesisbrings forth the financing ways of the public rental housing suitable for China, proposes tobroaden the existing modes of financing, improve the supporting mechanism, forming a government led-by and market actively participated multilateral forces to jointly support agood pattern for construction of public rental housing.