Monopolies unbalance housing rental market

THE BEIJING HOUSING, banking, financial and taxation authorities have warned some long-term apartment rental companies not to disturb the market order, and instructed them to strengthen their self-regulation and end their monopoly practices. Qianjiang Evening comments:

Rents in the capital have increased dramatically - 20 to 30 percent year-on-year - over the past few months. Several major real estate agencies are believed to be the main drivers behind the rent rises.

All of them have founded their own long-term apartment rental companies that lease apartments from homeowners and then divide the properties into more rooms, making the apartment suitable for joint tenancy by new graduates and migrant workers, which is a lot more profitable than renting the property to one family, despite the obvious safety risks.