As part of a move to improve its local housing policy, the Shanghai Government is considering lowering the threshold for low-income home buyers to apply for subsidized loans, spokeswoman Jiao Yang said at yesterday's regular press conference.
It was reported that families with annual incomes below 16,683 yuan (US$2010) per capita, 1,816 yuan lower than last year, could be allowed to apply for subsidized loans when purchasing homes this year, thus benefiting more families. However, such families could only buy apartments smaller than 90 square meters, priced below 3,500 yuan (US$422) per square meter and the total price of a used apartment should be no more than 250,000 yuan, the same standards as a year before.
Shanghai's aim to improve the local housing policy will solve problems at three different levels, Jiao said. First, with preferential policies covering 18,000 households this year, up 5,000 from the current number, families receiving the city's minimum incomes and having living space below seven square meters per capita would be allowed to lease economy apartments. Second, for those families living above the required standards, yet still have difficult living conditions, the local government will continue to maintain low rents on public housing, renovate old properties and replace the flat roofs of multi-story residential buildings with sloped ones. Third, for ordinary families with the desire to purchase homes, but without enough buying capability, the government will lower the requirements for them to receive subsidized loans.
"Our goal is to provide real benefits to all local residents," Jiao stressed.