Fujian reinforces housing price rules

( www.dkpw.cn )

Updated: 2012-08-23

The Bureau of Commodity Prices of Fujian Province would launch measures to reinforce management of indemnificatory housing prices, including control of rent for affordable housing and price-restricted commercial housing.

Low-rent Housing Policy

Recipients: Urban low-income families with housing difficulties

Administration Method: The government will set rent for low-rent housing.

Public Rental Housing Policy

Recipients: urban medium-income families for newly employed and migrant workers with housing difficulties

Administration Method: Government will determine rent for public rental housing. Pricing and adjustment of rent should not interfere with regular management of public rental housing. Rent should conform to general market rent levels and financial capacity of renters. Local conditions should be taken into consideration, and rent should change with factors such as housing location and housing category.

Affordable Housing Policy

Recipients: Urban low-income families with housing difficulties

Administration Method: Price for affordable housing will be guided by government and released by pricing and housing departments after evaluations of construction and management costs and potential profits. The price will correspond to financial capacity of urban low-income families.

Price-restricted Commercial Housing Policy

Recipients: Urban medium-income families with housing difficulties

Administration Method: Government would guide rice-restricted commercial housing based on construction and management costs, taxes and profits. Actual selling price of price-restricted commercial housing should not go beyond the price set before transference of land use right.

Next, the Bureau of Commodity Price of Fujian Province will strengthen supervision of pricing and charging of indemnificatory housing. Review violations of price law during construction and selling will get reinforced. Unauthorized overcharging, failure to implement price set by government and ambiguous pricing will be severely punished.

Edited by Lin Hong, Lei Jiawen and Tom Mc Gregor