Supporting the development of the housing rental market (Rui Finance)
The People's Bank of China and the State Administration of Financial Supervision and Administration recently issued the "Opinions on Financial Support for the Development of the Housing Rental Market" (hereinafter referred to as the "Opinions"), proposing 17 measures to support the development of the housing rental market from the aspects of strengthening the innovation of housing rental credit products and service models and broadening diversified investment and financing channels in the housing rental market.
Promote the standardized development of the long-term rental housing market
In order to accelerate the standardized development of the housing rental financial market, the financial management department previously drafted the "Opinions on Financial Support for the Development of the Housing Rental Market (Draft for Comments)", and released it to the public for comments in February 2023. According to a relevant responsible person of the People's Bank of China, a total of 2 valid opinions were received during the consultation period, and most of the opinions have been adopted by absorbing and adopting them. The opinions on financial support for the development of the housing rental market officially issued by the two departments will come into force on February 60, 2024.
According to the "Opinions", financial support for the development of the housing rental market should highlight the key points and aim at the shortcomings, mainly in large cities, focusing on solving the housing problems of new citizens, young people and other groups, supporting all kinds of entities to build, renovate and operate long-term rental housing, revitalize the stock of housing, and effectively increase the supply of affordable and commercial rental housing.
From the perspective of specific housing leasing entities, the "Opinions" provide greater support for self-owned property housing leasing enterprises, and clearly "focus on supporting the development of professional and large-scale housing rental enterprises of self-owned properties". Financial support for the development of the housing rental market should adhere to the positioning of "houses are for living, not for speculation", focusing on supporting self-owned property-owned housing rental enterprises that operate as independent legal persons, have clear business boundaries, and have professional real estate investment and management capabilities, so as to promote their large-scale and intensive operation, and improve the supply capacity and operation level of long-term rental housing.
Dong Ximiao, chief researcher of Zhaolian Financial, believes that the support measures proposed in the "Opinions" cover affordable rental housing and market-oriented rental housing. Especially for long-term rental housing, on the basis of summarizing the practical experience of relevant financial institutions, clear support and guidance measures are given, which will help to further promote the standardized development of the long-term rental housing market while promoting the construction of affordable housing.
Increase credit support
Promoting the sustainable development of the housing rental market is inseparable from the strong support of credit policies.
The "Opinions" make it clear that credit support for housing rental development and construction will be increased. Support commercial banks in issuing housing rental development and construction loans to real estate development enterprises, industrial parks, rural collective economic organizations, enterprises and institutions, and other entities that build and renovate long-term rental housing in accordance with laws and regulations. The term of the loan for housing rental development and construction is generally 3 years, and the longest is not more than 5 years, and the proportion of project capital for rental housing construction shall meet the relevant requirements of the State Council on the capital system for fixed asset investment projects. At the same time, to meet the reasonable financing needs of groups to purchase rental housing in bulk, the term of housing rental group housing purchase loans is not more than 30 years. Support the issuance of housing lease operating loans, and encourage commercial banks to actively explore financial service models and financial products suitable for the needs and characteristics of housing rental-related enterprises.
In terms of broadening the diversified investment and financing channels of the housing rental market, the "Opinions" propose to broaden the financing channels of housing leasing enterprise bonds, support the issuance of housing rental guarantee bonds, steadily develop real estate investment trusts, and guide all kinds of social funds to invest in the housing rental field in an orderly manner.
Zhao Xiuchi, dean of the Beijing-Tianjin-Hebei Real Estate Research Institute of the Capital University of Economics and Business, analyzed that the "Opinions" innovated the varieties of housing rental credit, including loans for the development and construction of new and reconstructed long-term rental housing for various entities for up to 3 years, and group housing purchase loans for rental housing for up to 30 years. At the same time, it has broadened the diversified investment and financing channels of the housing rental market, and provided credit support for the construction, holding and operation of long-term rental housing using various types of construction land in accordance with laws and regulations, which is conducive to further attracting relevant market entities to increase investment and promote the steady development of the housing rental market.
Improve the development model of simultaneous rental and purchase
In addition to clarifying the support measures for investment and financing, the "Opinions" also standardize the financial management of housing leasing. For example, the boundaries of housing rental finance business are strictly enforced, and it is clear that "housing rental finance business shall be strictly positioned to support the development of the housing rental market, and shall not provide financing for short-term speculation". At the same time, the pre-loan review and post-loan management of housing leasing should be strictly enforced to prevent financial risks of housing leasing.
Industry insiders believe that the measures proposed in the "Opinions" cover housing rental development and construction loans, housing rental group housing purchase loans, housing rental operating loans, etc., and also clarify the relevant financial management norms, involving the whole cycle of rental housing projects. After the relevant policies are implemented, it will further boost the development of the housing rental market and improve the real estate development model of both rental and purchase.
"The new policy of housing rental finance has played an escort role in ensuring that the housing rental market obtains compliant and low-cost financing, and provides a new path for guiding all kinds of social funds to invest in the housing rental field in an orderly manner, which is conducive to the housing rental market to obtain stable funds, help promote the expansion of the housing rental market, and contribute to the stable and healthy development of the real estate market. Zhao Xiuchi said.
Yan Yuejin, research director of the E-House Research Institute, believes that the relevant measures proposed in the "Opinions" are practical and will play an important guiding role in financial support for the housing rental market. "After the implementation of relevant policies on the supply side, it may effectively guide housing rental companies to provide more high-quality housing and services to meet the housing needs of new markets and young people, and better protect the relevant rights and interests of the housing demand side. ”
Liao Ruiling