BEIJINGHONG KONG, July 16 Reuters After Beijing ordered Chinese cities to buy newlycompleted apartments and turn them into affordable housing, the first steps they took were to unveil plans to broaden eligibility for subsidies and fix other economic headaches in the process.
Chinese leaders issued the directive in May, aiming to alleviate a protracted property crisis, which has led to bloated inventories of unsold apartments that have crippled developers39; cash flows and weighed heavily on home prices, consumer confidence and economic activity.
The property downturn and sluggish consumer demand pulled growth below forecasts in the second quarter.
Some analysts saw authorities39; new approach on social housing as a rare consumeroriented move in China that promises to transfer resources from local governments to households, which many have long called for as a means to boost domestic demand.
But an analysis of public statements from 20 Chinese cities shows that local officials are thinking bigger than that.
Most have distributed questionnaires to doctors, teachers and other groups beyond the usual lowincome demographic targets to gauge demand for subsidised rents and apartment purchases. Some have called on migrant factory workers from rural areas or even scientific researchers to express interest.
Economists say these announcements show that the cities are seizing on the new housing policy in ways that try to address brain drain and net population outflows to…