Housing policy in China at the crossroads: trends and prospects

Abstract

Housing policy in China has undergone profound changes ever since the dismantlement of the in-kind welfare housing system in 1998. A modern housing system has emerged in China in line with a rapidly growing real estate sector. Meanwhile, China is also plagued with similar housing problems that western governments faced during their industrialization and urbanization and are facing now. In response, the Chinese government has attempted to tackle housing problems by imposing strict regulations on the real estate sector, introducing new affordable housing schemes, and channelling and even limiting housing consumption behaviours. However, the outcome has proved to be meagre. The unsound outcome has driven further policy changes. This paper presents an updated trajectory of housing policy development in the post-reform era. It concludes by discussing implications of housing policy changes on social development and argues that housing policy in China is at a crossroads and is ready for a major overhaul.