Plans to Implement Joint Property Ownership to be Released by the End of the Month
Before the month ends the city will be releasing a plan that will implement a joint property ownership policy starting with an affordable housing project that will start in the second half of this year. The joint property ownership means that government, enterprises and home buyers will each have a stake in possessing a given property.
An official for the city housing and construction bureau stated that the city is now doing research on how to equally divide property rights and to set aside the profits that will be generated from the joint owned properties together with finding a solution on solving transfers and liability issues. There will be three from of ownerships that will be possibly introduced with the joint owned properties as the government, enterprises and individuals will be pairing up to create partnerships.
Among the six cities in April that was selected to pilot the property program Shenzhen was one of them, together with Shanghai, Beijing, Huangshi, Huai’an and Chengdu as these cities made an effort to create more affordable housing available. The chief economist for the Ministry of Housing and Urban Rural Development stated that the policy is expected to serve two purposes, namely allowing individuals to have partial ownership of their homes by paying part of the costs, and preventing profiteering in the affordable housing trade as the policy state that home buyers and the government shares of the property rights which limits the profits of homeowners that sell said properties.
The only question left remaining is how to properly divide the rights as the focal point of the policy and if the city will allow home owners to pay 60 or a 100 percent based on their budget.