On February 26, the measures of Ningbo Municipality for the administration of jointly owned housing (hereinafter referred to as the measures) came into force. The “measures” clearly stipulates the conditions of home buyers in terms of housing, income, social security and property.
The relevant person in charge of Ningbo Municipal Bureau of housing and urban rural development said that the measures, as the landing policy of Ningbo to strengthen the top-level design of the housing security system, has important practical significance: first, it is conducive to accelerating the construction of a housing security system combining rent and purchase; Second, it is conducive to easing the pressure on families without housing to pay for house purchase and increasing the opportunities for citizens to own property rights housing; Third, it is conducive to the recycling of financial funds and promote the sustainable development of housing security; Fourth, it is conducive to curb the demand for investment speculative house purchase and promote the stable and healthy operation of the real estate market.
policy is more “market-oriented”
In December 2021, Hangzhou first released the measures for the administration of jointly owned property rights protected housing in Hangzhou. The co ownership housing launched in Ningbo is different from that in Hangzhou in many details.
In the form of preparation for the construction of jointly owned houses, both places have two methods: transferring land for centralized construction and transferring existing houses. The third way in Hangzhou is to allocate land for centralized construction, and the third way in Ningbo is the construction of commercial housing projects.
An insider who declined to be named told the reporter of Securities Daily: “Compared with Hangzhou, Ningbo’s third way of preparation for construction has more ‘market-oriented characteristics’. In recent years, local governments have adopted the method of’ limiting land price, competing for self-supporting and competing for matching construction ‘to promote land. Many land auctions have touched on fuse projects, with a lot of matching construction area, Lbx Pharmacy Chain Joint Stock Company(603883) which is also concerned about the use of these houses. Ningbo’s method is undoubtedly to revitalize this part of Housing matching construction. And because this part of the house is supervised and paid by the real estate enterprises, it also saves a lot of expenses for the government. “
In terms of listed transactions, although both places have a 10-year lock period, the lock period expires. Hangzhou’s policy is that the holding institution has the right of first refusal. Ningbo’s policy is that families can acquire all property rights after additional purchase and then transfer them on the market; It can also be listed and transferred with the holding agency according to their respective share of property rights, and the house payment can be distributed according to the share. Ningbo’s mode of “same shares and same rights” is still more “market-oriented”.
In terms of access conditions, Ningbo has defined the income limit proportion of applicants for the first time, that is, the per capita annual disposable income of families is required to be lower than 150% of the per capita disposable income of local urban residents in the previous year.
how does the policy affect the rigid demand market
As the housing with common property rights has the characteristics of property rights owned by buyers, and the price is basically close to that of ordinary rigid demand commercial housing, but there is a lower threshold for down payment, and its customer base greatly overlaps with that of rigid demand projects in the real estate market. So will the implementation of the measures have an impact on the just needed market of Ningbo real estate market?
Xue Jianxiong, President of Youtao City, told the Securities Daily: “the common property right housing mainly solves the middle and low-end security, which is of great help to multi-level supply and alleviate the housing pressure of low-income people. Due to the small supply, it has limited short-term impact on the market.”
Feng Guoliang, founder of renju think tank, said in an interview with Securities Daily: “60% – 80% of the total property right houses in Ningbo are held by individuals, which provides disguised financial support for low – and middle-income people to buy houses, and the threshold for buying houses has been greatly reduced. From the situation of other cities, the market feedback is very different, and there will be no obvious supply failure. In addition to the real estate itself, it also depends on the location, environment, transportation facilities, and the quality of the school district. Products with good location are popular, but the location is different The poor are relatively cold. “
Ding Saisai and Liu Wenyi, researchers of Huaxing research and strategy, believe that the impact of jointly owned housing on the rigid demand market is limited, let alone the impact. At present, the common property right house in Ningbo is only in the initial stage, and there is only one land with common property right that has been traded. If the supply of jointly owned houses increases and blooms on all sides in the future, its influence will not be the same.
