Bloomberg Businessweek

To Pay Rent Is Glorious

China’s government wants to make it easier to put off buying a home
A rental apartment in Shanghai

China began to allow private homeownership only in 1998, setting the stage for an historic urban land rush. Now the government is trying to engineer a different kind of transformation: getting more people to rent.

After a public outcry against spiraling housing costs, President Xi Jinping used the milestone 19th Party Congress in October to pledge that the nation will make rentals as important as purchases. City governments from Beijing to Shanghai have earmarked public land to auction to property companies that would develop rental projects only.

You're reading a preview, sign up to read more.

More from Bloomberg Businessweek

Bloomberg Businessweek5 min read
The New Money In Old Medicine
AstraZeneca Plc is spending big to develop cancer drugs that can sell for hundreds of thousands of dollars per patient annually. But in China, the British pharmaceutical giant is betting on a traditional heart remedy that can be bought for about $2.5
Bloomberg Businessweek3 min read
Keep Your Options Open
The BMW M850i convertible offers juicy upgrades to a model that’s already pretty near perfect.
Bloomberg Businessweek1 min read
• Boeing Has Its Work Cut Out in Paris The Paris Air Show starts on June 17. Typically an event for major aircraft orders, this year’s show is overshadowed by the grounding of the Boeing 737 Max following two deadly crashes. Can the U.S. company reb