Shenzhen Will Buy Back Homes If Prices Fall

Tencent: 罕见！深圳推出共有房，房价跌了企业保底

In order to make young people feel more at ease to buy a house, Shenzhen has launched a "shared housing plan for young talents". Young people who meet the requirements can buy a house at half price. After 3 years, when the house price rises, they can buy the other half of the property at the original price. If the house price falls, the company will guarantee the original price. If the home price falls, they will buy back the homebuyers's half.

...It is understood that the plan was jointly issued by Shenzhen Enterprise Human Resources Development Promotion Association and Shenzhen Anjiajian Industrial Development Co., Ltd., and will open 50 sets of industrial apartments in Baoan District, Shenzhen to young talents who meet the standards. It is expected to be completed by the end of this year.

This should be seen in the context of the "war for talent" in China. There aren't enough young people and fewer talented young people to meet demand. I'm not saying this plan is a good idea, but it should be viewed in context of cities paying bonuses to attract human capital. Contrast with the U.S. where the Federal Reserve and USG funnel cash to scum outfits like Blackrock who buy up homes and price young people out of homeownership.