China’s Ministry of Housing and Urban-Rural Development (MoHURD) has made public its policy plans for the real estate market for 2019. According to its annual statement, over 2019, MoHURD intends to stabilise land and home price as well as steady market expectations. The Ministry’s 2019 agenda will also prioritise countering home-affordability challenges by boosting the supply of rental housing.
The property market is one of China’s key drivers of economic growth, and, therefore, MoHURD’s decisions hold critical implications for the country. In a noticeable break with its previous approach, MoHURD’s statement presented that local governments would be free to manage their own real estate markets such as by developing their own policies which match their own conditions. Hence, Caixin reports that the Ministry’s “softened” tone may present the central government’s willingness of loosening its grip on the property sector and grant more independence to local cities.