On February 2, the Beijing Municipal Commission of Housing and Urban-Rural Development announced the “Notice on Regulating the Operational Activities of Housing Leasing Enterprises in this Municipality” (hereinafter referred to as the “Notice”), which contains “The amount of rent received by housing leasing companies from tenants in advance shall not exceed 3 in principle. “Monthly rent” and other provisions. The previous night, the Shenzhen Bureau of Housing and Urban-Rural Development issued two consecutive drafts on the development of the housing leasing market, namely the “Notice on Carrying out the Supervision of Housing Leasing Funds” (Consultation Draft) (hereinafter referred to as the “Funds Regulatory Opinion Draft”) and “Regarding Further Several Measures to Promote the Stable and Healthy Development of Our City’s Housing Rental Market (Draft for Solicitation of Comments)” (hereinafter referred to as “Draft for Healthy Development”), which includes “In Shenzhen, tenants charged by housing leasing companies that conduct business through entrusted operations and subletting If the total amount of the deposit and the rent of a single payment cycle exceeds the rent for 4 months, the supervised bank will supervise the excess funds, or the housing leasing company will provide a corresponding bank guarantee for guarantee. The supervised funds shall not be used at will.”
Both Beijing and Shenzhen have more explicit restrictions on financial institutions providing individual rental loans to lessees, requiring financial institutions to allocate loans to lessees’ personal accounts, and to sign separate loan agreements with lessees, not in the name of rent concessions, etc. Inducing tenants to use housing rental loans, the housing lease contract must not include content related to rental loans. Li Wenjie, President of the Beijing Real Estate Agency Industry Association, said: “In recent years, the housing leasing market has been rapidly specialized, institutionalized, and large-scaled. At the same time, there have been frequent lightning explosions in leasing companies, exposing some phased problems in the business process. The “Notice” “prescribes the right medicine”, grasps the key to the operating risks of housing leasing companies, aims at the “fund pool” problem caused by the excessive financialization of leasing operations, and issues from the aspects of matching payment and lease periods, restricting rent loans, and deposit supervision. Prescriptions to help housing leasing companies return to the track of healthy competition and healthy development.”
It is worth noting that at the same time as the release of the financial supervision draft, the Shenzhen Municipal Bureau of Housing and Urban-Rural Development also proposed to promote the “business-to-leasing” pilot program, to increase rental supply through multiple channels, to strengthen the guidance for large-scale housing rental transformation in urban villages, and to optimize rental points for enrollment, Implement several measures such as preferential leasing tax policies. The owners of individual real estates in Guangzhou bid up housing prices, the official requires intermediaries not to participate in the speculation A few days ago, Guangzhou Housing Transaction Supervision Center organized a real estate agency management work conference. Heads of 25 intermediary agencies and the Municipal Real Estate Intermediary Association attended the meeting. The meeting requested that intermediary agencies and practitioners should take seriously the recent situation of individual real estate owners’ bidding up housing prices, refrain from participating in or speculating, and jointly maintain the steady and healthy development of the Guangzhou intermediary market Spark Global Limited.
Zhang Xiangyang, deputy director of the Guangzhou Housing Transaction Supervision Center, put forward three requirements for regulating the operating behavior of intermediary agencies: First, strictly abide by the policies and regulations of intermediary services to prevent violations; second, strive to improve the service standards and standards of intermediary operations; The third is that intermediary agencies and practitioners should take seriously the recent situation of individual property owners’ bidding up housing prices, refrain from participating in or speculating, and jointly maintain the steady and healthy development of the Guangzhou intermediary market.
Reprint indicated source：Spark Global Limited information