The establishment and improvement of low-rent housing system is to solve the housing problem of the poverty-stricken population in the urban areas,is also an important part of the reform of the housing system.
In China, since the implementation of Reforming and Opening Policy, together with the deepening of economic restructuring, realty industry recovered from the old economic structure, and developed rapidly with the facilitation of the accompanying policy reforms/developments, such as the comprehensive development in urbanization, compensated usage of land, reform of the housing system, capitalization of housing distribution etc.
With the development of china’s real estate and the deepening of the reform of the housing system, as a special commodity, commercial apartment becomes more and more important in people’s personal consumption day by day.
Based on the residents rational expenditure, the proportion of the welfare in housing expenditure, the residents requirements for housing, and the theory of the supply and demand relationship, the resident income level and consuming structure in Luoyang are analyzed and testified. The resident consumption ability is presented, measures to the reduction of the housing price and to the improvement of the residents effective requirements are put forward, and the way to accelerating housing policy reform is suggested.
Due to Chinese housing reform and increasing house demand, these years have witnessed great development of residential mortgage since 1998. The data show that the average annual growth rate reaches 84% from 1998 to 2004, much higher than that of all RMB loan in financial institutions.
There are three main reasons for the residential separation and difference: the transition of urban politics-and-economy and urban planning, the land reform and development of real estate, the housing reform and commercialization of public housing.