Beyond Owning-Renting Dichotomy: Owner-Renting in Urban China

This paper examines owner-renters, households that rent their current residence while owning property elsewhere, using data from the 2013 and 2019 China Household Finance Survey. It explores how household characteristics influence owner-renting and the drivers of this phenomenon. Owner-renting stems from the ‘rigid demand’ of becoming a homeowner and the inability to purchase a dwelling that fulfils residential needs. It serves primarily as a transitional strategy for households striving to achieve owner-occupation, but also as an alternative tenure for disadvantaged households and households prioritising flexibility or lifestyle. Institutional restrictions, especially the hukou, contribute to this arrangement, although their influence has diminished. Ongoing housing affordability challenges in higher-tier cities further reinforce this practice and are likely to persist in the medium to long term. This study enriches the understanding of homeownership and offers policy implications for urban integration and urban governance of migrants in an era of financialised housing markets.