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The road to homeownership: a longitudinal analysis of tenure transition in urban China (1949–94)

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  • Youqin Huang

Abstract

With ongoing housing reform and profound changes in housing consumption in urban China, this article aims to understand tenure transition from rental to homeownership. Because of different housing systems in China over time, and thus different connotations attached to homeownership, tenure transition should be understood within its historic context. Using a sample survey of life history in 20 cities and the method of event history analysis, this article examines the tenure transition to the first homeownership during 1949–94, a period covering both the socialist era and the early stage of housing reform. In contrast to conventional wisdom, older and married people, and those working in the public sector and living in public housing were less likely to change to homeownership before housing reform, mainly because the socialist housing system was ironically in favor of those households with higher socio‐economic positions. In the reform era, while there are remnants of the socialist housing system, tenure transition has different dynamics with factors such as marital status, work units and previous housing tenure no longer important, at least by the mid‐1990s. In addition, crowded housing conditions and long duration in the rental sector generally encourage the transition to homeownership, and there are significant regional variations. Face à la réforme actuelle du logement et aux mutations de consommation de l'habitat dans la Chine urbaine, cet article cherche à comprendre le passage de la location à la propriété. Les systèmes de logement ayant varié avec le temps, donnant à la propriété différentes connotations, il faut appréhender la transition du mode d'occupation dans son contexte historique. S'appuyant sur une étude biographique effectuée par sondage dans 20 villes et sur la méthode de l'analyse historique des événements, l'article examine la transition vers la première accession à la propriété entre 1949 et 1994, période couvrant l'ère socialiste et le stade initial de la réforme du logement. Contrairement à l'avis traditionnel, les individus mariés et plus âgés, ainsi que les employés du secteur public qui vivent dans des logements sociaux, avaient moins tendance à opter pour la propriété avant la réforme, essentiellement parce que l'habitat socialiste favorisait bizarrement les ménages aux positions socio‐économiques élevées. Pendant la période de réforme, malgré une survivance du système socialiste, le changement de mode d'occupation présente une autre dynamique; ainsi, des facteurs tels que le statut marital, les unités de travail et le mode de jouissance antérieur n'ont plus d'importance, du moins jusqu'au milieu des années 1990. De plus, les conditions de surpopulation des logements et une durée prolongée dans le secteur locatif encouragent généralement le passage à la propriété, sans oublier des variations régionales significatives.

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  • Youqin Huang, 2004. "The road to homeownership: a longitudinal analysis of tenure transition in urban China (1949–94)," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 28(4), pages 774-795, December.
  • Handle: RePEc:bla:ijurrs:v:28:y:2004:i:4:p:774-795
    DOI: 10.1111/j.0309-1317.2004.00551.x
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    1. Tolley, G.S., 1991. "Urban Housing Reform in China," World Bank - Discussion Papers 123, World Bank.
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    Cited by:

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    3. Zhao, Pengjun & Lu, Bin, 2010. "Exploring job accessibility in the transformation context: an institutionalist approach and its application in Beijing," Journal of Transport Geography, Elsevier, vol. 18(3), pages 393-401.
    4. Jie Chen & Mingzhi Hu, 2019. "What types of homeowners are more likely to be entrepreneurs? The evidence from China," Small Business Economics, Springer, vol. 52(3), pages 633-649, March.
    5. Shen, Yue & Chai, Yanwei & Kwan, Mei-Po, 2015. "Space–time fixity and flexibility of daily activities and the built environment: A case study of different types of communities in Beijing suburbs," Journal of Transport Geography, Elsevier, vol. 47(C), pages 90-99.
    6. Ho, Peter, 2018. "A theorem on dynamic disequilibrium: Debunking path dependence and equilibrium via China’s urban property (1949–1998)," Land Use Policy, Elsevier, vol. 79(C), pages 863-875.
    7. Zhen Wang & Mingzhi Hu & Yu Zhang & Zhuo Chen, 2022. "Housing Security and Settlement Intentions of Migrants in Urban China," IJERPH, MDPI, vol. 19(16), pages 1-16, August.
    8. Ming Tian & Qingwen Xu & Zhigang Li & Yang Yu, 2022. "Hukou Reform and the “Luohu” of Rural Migrants in Urban China," Sustainability, MDPI, vol. 14(23), pages 1-10, November.
    9. Guo Chen, 2016. "The heterogeneity of housing-tenure choice in urban China: A case study based in Guangzhou," Urban Studies, Urban Studies Journal Limited, vol. 53(5), pages 957-977, April.
    10. Chen, Jie & Hu, Mingzhi & Lin, Zhenguo, 2019. "Does housing unaffordability crowd out elites in Chinese superstar cities?," Journal of Housing Economics, Elsevier, vol. 45(C), pages 1-1.
    11. Wang, Chuhong & Wang, Yonghua & Liu, Xingfei & Zhong, Jiatong, 2022. "Housing Demolition and Occupational Mobility: Evidence from China," IZA Discussion Papers 15750, Institute of Labor Economics (IZA).
    12. Marie-Hélène Vandersmissen & Anne-Marie Séguin & Marius Thériault & Christophe Claramunt, 2009. "Modeling propensity to move after job change using event history analysis and temporal GIS," Journal of Geographical Systems, Springer, vol. 11(1), pages 37-65, March.
    13. Mingzhi Hu & Wenping Ye, 2020. "Home Ownership and Subjective Wellbeing: A Perspective from Ownership Heterogeneity," Journal of Happiness Studies, Springer, vol. 21(3), pages 1059-1079, March.
    14. Mingzhi Hu & Yulu Yang & Xiaofen Yu, 2020. "Living better and feeling happier: An investigation into the association between housing quality and happiness," Growth and Change, Wiley Blackwell, vol. 51(3), pages 1224-1238, September.
    15. Mengzhu Zhang & Shenjing He, 2020. "Informal Property Rights as Relational and Functional: Unravelling the Relational Contract in China's Informal Housing Market," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 44(6), pages 967-988, November.
    16. Mujun Zhou, 2014. "Debating the State in Private Housing Neighborhoods: The Governance of Homeowners' Associations in Urban Shanghai," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 38(5), pages 1849-1866, September.
    17. Zhao, Pengjun & Lü, Bin & Roo, Gert de, 2011. "Impact of the jobs-housing balance on urban commuting in Beijing in the transformation era," Journal of Transport Geography, Elsevier, vol. 19(1), pages 59-69.
    18. Lingling Su & Suhong Zhou, 2022. "Long-Term Residential Environment Exposure and Subjective Wellbeing in Later Life in Guangzhou, China: Moderated by Residential Mobility History," IJERPH, MDPI, vol. 19(20), pages 1-18, October.
    19. Zhang, Ping & Sun, Lin & Zhang, Chuanyong, 2021. "Understanding the role of homeownership in wealth inequality: Evidence from urban China (1995–2018)," China Economic Review, Elsevier, vol. 69(C).
    20. Zhao, Pengjun, 2013. "The implications of and institutional barriers to compact land development for transportation: Evidence from Bejing," The Journal of Transport and Land Use, Center for Transportation Studies, University of Minnesota, vol. 6(3), pages 29-42.
    21. Boehm, Thomas P. & Schlottmann, Alan M., 2014. "The dynamics of housing tenure choice: Lessons from Germany and the United States," Journal of Housing Economics, Elsevier, vol. 25(C), pages 1-19.
    22. Xiang CAI, 2018. "Determinants Of Affordable Housing Allocation: Common Perspectives From Local Officials," Regional Science Inquiry, Hellenic Association of Regional Scientists, vol. 0(2), pages 227-237, July.
    23. Hu, Mingzhi & Su, Yinxin & Ye, Wenping, 2019. "Promoting or inhibiting: The role of housing price in entrepreneurship," Technological Forecasting and Social Change, Elsevier, vol. 148(C).

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