Needy families to receive low-rent homes

By Chen Xingjie  |   2008-10-20  |     ONLINE EDITION

TWENTY-ONE needy families in Shanghai will soon be able to choose new low-rent homes based on a public draw that was held yesterday.

The draw, organized by the Xuhui District housing authority, was the first of its kind in Shanghai, Youth Daily reported today. It will be used as a trial run for the city's low-rent housing program.

After choosing their new homes, the families from Xuhui's Xietu, Tianlin, Changqiao and Hongmei subdistricts will soon move in to the simply furnished flats – one-room or two-room apartments with living areas ranging from 30 to 70 square meters.

The families now have a living space of smaller than 7 square meters per person with per-capita income lower than the city standard for low-income families.

They will seal a two-year rental contract with the housing authority, during which they will only have to pay 5 percent of their family income in rent per month. Local governments will subsidize the rest, the report said.

After the two-year rent contract expires, the local governments will decide whether to continue with the housing aid after a review, according to the regulations.

During the contract, the families can't rent out or sell the homes or the housing authority will cancel their qualifications. And the government will make routine checks on the economic status of the families to ensure they remain qualified for the program, the report said.

Thirty families in the four subdistricts qualified for the program, the Youth Daily report said, citing Xuhui housing officials. Nine finalists withdrew applications due to diversified reasons.