(Economic Observation) The Central Government Rarely Named "School District Housing": There are no exceptions for housing and speculation

　　China News Service, Beijing, May 10th. Title: Rarely named by the central government "School District Housing": There is no exception for housing and speculation

　　China News Agency reporter Pang Wuji

　　Recently, the restless school district room was named by the central government.

　　The Politburo of the CPC Central Committee held a meeting on April 30, reiterating the positioning of "no speculation in housing" and clearly proposed "preventing housing speculation in the name of school district housing."

　　It is rare for the Politburo meeting of the Central Committee to directly "name" the school district room, and the significance of the signal is not weak.

If it is put under the special situation of the real estate market, it is not difficult to understand why the decision-makers made this statement.

"Daming to stop water"

　　In response to the impact of the new crown epidemic, global central banks have "released water."

Under the loose monetary policy, housing prices in major countries including South Korea, the United Kingdom, Australia, and the United States have all seen rapid rises, and housing prices in some metropolises have reached record highs.

　　Excessive rise in housing prices and separation from the real economy will bring huge risks of bubbles.

Guo Shuqing, Chairman of the China Banking and Insurance Regulatory Commission, pointed out that since the last century, of the more than 130 financial crises in the world, more than 100 have been related to real estate.

　　Knowing the harm, China began to "build dams" in the second half of last year.

The already relatively strict property market policies in many places have repeatedly upgraded: the threshold for purchase restrictions has been continuously increased, the price limit has been expanded from new houses to second-hand houses, business loans and consumer loans that illegally flow into the property market have been strictly investigated, and violations in the process of real estate transactions have been focused on cracking down. The key urban land market is also ushering in a new centralized land supply rule.

　　It can be said that in key cities in China, the severity of property market regulation has reached the highest point in history.

According to agency estimates, as of mid-April, the number of real estate control policies this year has exceeded 160.

Three characteristics of the new round of regulation

　　This year, "housing, housing, no speculation" has entered its fifth year.

Its practical significance has not diminished due to the extension of time, on the contrary, it is influencing China with an unprecedented degree, scope and penetrating power.

　　The latest round of property market regulation has shown a series of characteristics that are different from the past in terms of "housing and living without speculation":

　　First, the school district housing is focused on.

　　Due to the uneven allocation of educational resources, school district housing often becomes the target of speculation.

From the end of last year to the beginning of this year, the rise in second-hand housing in first- and second-tier cities mostly started with the rise in housing prices in school districts.

　　Prior to the "calling" by the central government, many places, including Shanghai, Beijing, Ningbo, Hefei, and other places, had issued control policies for school district housing.

For example, Ningbo sets the reference price of second-hand housing in hot school districts, and Shanghai allocates at least half of the places in key high schools to every middle school.

　　Second, the monitoring and supervision of the Ministry of Housing and Urban-Rural Development has become the "control baton."

　　Past regulation and control experience shows that there is a certain game between the central and local governments on the implementation of regulation and control, because the city cannot rely solely on local consciousness to implement policies.

　　Since the beginning of this year, a major new feature of regulation is that the monitoring and supervision of the Ministry of Housing and Urban-Rural Development have become the "control baton."

Starting in late January this year, in less than three months, the Ministry of Housing and Urban-Rural Development has conducted field investigations, supervisions or interviews in 13 cities.

The response of this kind of investigation and supervision is very sensitive.

For example: On March 25, Nanchang issued relevant policies that were inconsistent with the requirements of "three stability" (stabilizing land prices, stabilizing housing prices, and stabilizing expectations). The Ministry of Housing and Urban-Rural Development sent a supervision team to the scene on the same day, and the relevant policies were withdrawn on that day.

　　Third, the prudent management of real estate finance has kicked off.

　　Beginning in August last year, financial regulatory agencies have drawn "five red lines" for the real estate industry, emphasizing the transparency and regulation of financial management.

Among them, the three red lines are for the financing management of real estate enterprises, and the other two red lines are the management system of real estate loan concentration of banking financial institutions.

　　Industry insiders believe that the delineation of these "five red lines" constitutes the main tool for the prudent management of China's real estate finance, which is a milestone in the construction of China's real estate system.

Since 1998, the real estate system has undergone the development of housing system reform, land system reform (2002) and then financial management reform (2020).

"Housing and not speculating" can't just start from the house

　　It is not difficult to see that the new round of property market regulation has made great efforts in a more flexible and scientific system.

Policy linkage has also reached a higher level.

　　However, we still need to see that, in many cases, the house is just a carrier, and many of the problems that seem to occur in the house are not just problems in the real estate market.

　　For example, the school district housing problem is how to allocate educational resources more equitably.

Without increasing the supply of high-quality educational resources, curbing financial speculation, or starting with the balanced allocation of educational resources, it will be difficult to eradicate the problem.

　　In addition to educational resources, houses also carry various social resources such as land, medical care, household registration, and finance.

　　Therefore, how to allocate various resources from a higher position and coordinate the policies of various departments to maximize fairness will not only test the ability of governments at all levels to solve specific problems, but also test their governance level and the smoothness of government orders.

　　The central government has already explained this.

The previously issued "14th Five-Year Plan" proposal clearly pointed out that to promote the balanced development of finance and real estate with the real economy, and to achieve an effective connection between upstream and downstream, production, supply and marketing.

　　This shows that to solve the problem of the house, we cannot just start with the house. To truly realize "housing and living without speculation", we also need to consider and plan overall housing, finance, real economy, education, and medical care. (Finish)