Study On The Financing Pattern Of Indemnificatory Housing In China

In the growing commercialization of residence today, many low-income peoplecan not rely on market forces to solve their own housing problems. Therefore, greatefforts to develop indemnificatory housing, making the social public especiallylow-income groups have access to appropriate housing and achieve “HomeOwnership” good wishes have become a general agreement, but also have become anunavoidable responsibility of government. Although in recent years China’s urbanhousing security system underwent improvement, and its public investment has alsoincreased significantly, funding, the most basic elements of the construction ofaffordable housing, is increasingly becoming the major bottleneck in the developmentof affordable housing. In the face of increasing affordable housing funding needs, thecurrent financing model basically stay on the support of the policy funds, less marketcapital to participate in affordable housing. Therefore, how to effectively break theexisting financial-led financing model, innovative market-oriented financing model,introduce a large number of social capital to the field of protection of housing, it is thepurpose of this study and significance.Starting from the actual situation of the development of affordable housing inChina, this article firmly seize the funds that restrict the development of affordablehousing mainline, so as to find the focus and direction of this research. First, thisarticle defines and analyzes the characteristics of the connotation of the concept ofaffordable housing; affordable housing finance; REITs; BOT; PPP. also we clarify thebasic theory of affordable housing. Simultaneously this article summarize theexperiences and practices of some foreign, then it provide a reference for ouraffordable housing finance practice. Secondly, from a macro level this article focuseson the problems in the existing financing model and find out the reason, this part pointout that our government-led financing model is increasingly rigid, government shouldabsorb the social capital into the field. Again, in the existing policy system andinstitutional framework of affordable housing financing mode, we give acomprehensive explanation how to innovate affordable housing finance model, whichis the heart of this article. This section provides the three market-oriented financing model: REITs, BOT, PPP, details the respective meanings, classification and its modeof operation in the protection of housing projects. Finally, combing innovativeframework for the operation of the protection of housing financing model, we putforward a number of policy recommendations to expand the implementation of theaffordable housing market financing model.