Abstract
After the housing reform policy in 1998, a long-term economic expansion contributed to China's GDP, improving people's living conditions and increasing living costs. The abundant fiat money created by commercial banks pushes housing prices, bringing many social problems caused by housing-related to marriage, employment, and education. This study integrates three concepts, namely, Musharakah Mutanaqisah (Diminishing partnership), cooperatives, and crowdfunding, to propose an alternative housing loan model. It aims to give an Islamic home finance solution to housing unaffordability for middle- and lower-income households in China. Based on the proposed housing loan model, the author conducts a quantitative method to examine homebuyers' readiness to accept and implement the proposed model. The results show that most respondents are willing to try the proposed model. In particular, Muslims, those with housing experience, employed, and respondents over 30 years old have a greater interest.
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Article Details
- Year: 2023
- Volume: 44
- Issue: 1
- Pages: 91 - 124
- Accepted: 30.06.0202
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DOI:
https://doi.org/10.5281/zenodo.16882071 -
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How to Cite?
Yaxin Ma, Fauziah Md Taib (2023). An Integrated Islamic Co-operative as A Housing Solution for China’s Housing Affordability Issues. Journal of Economic Cooperation and Development, 44(1), 91-124. https://doi.org/10.5281/zenodo.16882071
