Joanna Real Estate Shanghai

China has given in-principle approval to a draft regulation that will better protect homeowners. The rules, that focus on expropriation and compensation, went through an executive meeting of the State Council on Wednesday, presided over by Premier Wen Jiabao.

The draft puts an end to forced demolitions without legal approval and promises fair prices to homeowners who do lose their properties. It says compensation for those homeowners should not be lower than the market price. The compensation should also include the cost of moving and temporary accommodation, and losses caused by suspension of business. Moreover, developers are forbidden to be involved in relocation work.

Soaring housing prices and traffic congestion are among the major bottlenecks that harass Beijing's social and economic development, Mayor Guo Jinlong said at the municipal parliament session opening Sunday.

"We are under heavy pressure to stabilize housing and other retail prices, and optimize investment structure, now that a comparatively high proportion of investment goes to the real estate sector," Guo said in his government work report submitted to the annual session of the Beijing Municipal People's Congress, the local legislature.

This year, he said the city government would take strict measures to regulate the real estate market, ensure stable and orderly land supplies and curb speculative investment to keep housing prices from soaring further.

The government plans to build more affordable houses for the low-income groups. "We will build or buy in 200,000 affordable apartments this year and hopefully half of them will be ready to move in by the end of the year," said Guo.

THE average price of new homes soared to a record high in Shanghai during the last month of 2010 amid strong sentiment among buyers particularly for mid- to high-end properties .

New homes, excluding those designated for relocated residents under urban redevelopment plans, were sold for an average 24,176 yuan (US$3,652) per square meter in December, up 7.6 percent from November and a growth of 21 percent from January, according to a report released yesterday by Shanghai Uwin Real Estate Information Services Co, which has been tracking the local new home market since 2006.

Transaction volume, meanwhile, jumped 47 percent from a month earlier to 1.4 million square meters, the highest registered in 2010, Uwin statistics showed.

"The notable rebound in both price and volume in the last month of the year has actually reflected recovering demand from investors rather than end-users," said Lu Qilin, a Uwin researcher. "The local restriction on home purchase, coupled with a highly anticipated introduction of a property tax, are probably major driving forces behind robust sales of mid to high-end homes."

More than 338,000 square meters of new homes, costing above 30,000 yuan per square meter, were sold in the city last month, according to Uwin research. Less than 200,000 square meters were sold in the same period a month earlier.

China is tightening regulation on foreign investment in the real estate sector to crack down on speculation, according to a statement from the Ministry of Commerce (MOC) on Thursday.

The ministry urges local authorities to increase checks and supervision on property investment that involved foreign investors and strengthen risk controls on the sector, said the statement posted on the MOC web site.

According to the statement, foreign-funded developers are not allowed to make profits through buying and reselling real estate projects, which will be strictly monitored by the MOC along with the Ministry of Land and Resources and the State Administration of Foreign Exchange.

The ministry also required local authorities to tighten scrutiny over foreign-funded investment companies and not to allow those companies to enter the real estate businesses, while closely examining the exact amount of foreign funds used in new real estate projects.

Foreign direct investment(FDI) into China's property sector jumped 48 percent to 20.1 billion U.S. dollars in the first eleven months of this year, compared to a 17.73 percent growth in the total FDI in the same period, according to earlier MOC data.

There are many things to note when you decide to rent an apartment in Shanghai. Much of what is important depends on the priorities of the individual person or family.

One of the most important things to take into consideration is the area a Shanghai apartment is in. There are a number of reasons why you may have to live within a certain area. You will need to be within walking or driving distance of your job. Some are willing to commute to live in the area they like, whereas others want to be within a few minutes of walking distance to job.

When you tend to rent an apartment in Shanghai, distance to amenities might also be a factor. This could depends on whether or not have a car and if not, on transport links. It might be important for you to be near the town centre or food shop. The elderly may consider being near the hospital important, while those with young children are more likely to priorities with being near a school.

Shanghai villa rentals are an ideal manner for adding privacy and luxury quotient in your living. In fact, it is possible to save a lot of money by relinquishing the luxurious hotels and stay like a resident by leasing a private Shanghai villa.

Villas for all tastes are present in Shanghai whether one wants to experience the Chinese culture or western style like French, Italy, etc. For those who want to try the metropolitan spots may go ahead with downtown villas are located in the center or busy area of Shanghai.

There are a lot of people who happened to reach Shanghai in order to find various Chinese cuisine. For such people, villas in downtown area will solve the purpose. For nature lovers and tranquility seekers, Shanghai villas in suburbs are considered the best. Whichever part of Shanghai you choose; a careful research and a little know-how of rental etiquette will turn your living in this city into a pleasurable experience.

It is important to calculate your budget first and the areas that you prefer to live. The best of Shanghai villas are present in the downtown or in the suburbs of the city. Therefore, it will be important to include the expense that would be involved in buying or renting a car if you rent a Shanghai villa in the suburb areas. You also need to prioritize the amenities that you would want to use.