People's Daily: Housing Inventory Reduction Includes Rent

The People's Daily has an article out today saying that reducing housing inventory is not only about selling houses, it's also about renting the idle inventory.

人民日报:去库存不只是卖房子 应购租并举
"Home Ownership" does not mean "Home property." Even in developed countries, Europe and other homeownership rate is only 60% more, rental married Japanese high as 67.1%, married couple to buy a house, compared to just 14.3%, while China's urban new home currently own rate close to 90%.

...Destocking is not just to sell the house, but by establishing both available for rent housing system, to achieve human-centered new urbanization. The occupants, the rental lowered the threshold of urbanization, to facilitate the free flow of talent between different city, region; on the market, in the lower portion of the third and fourth tier cities housing stock remains high in the case, can the development of the rental market increased willingness to buy stock lessor of real estate to better resolve the real estate market inventory.

...Recently, the State Council executive meeting on the cultivation and development of the housing rental market to make arrangements, put forward a sound tax incentives to encourage financial institutions to increase support measures. If we can build a healthy and sustainable real estate rental market, sell and rent let off together, people-centered new urbanization have a more solid foundation.
The key is rental yield. In some cities, the government will have to greatly incentive investors at current yields.

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