New rental housing regulations now in effect

China's first national rental housing regulations took effect yesterday, a major step towards protecting the rights of renters and promoting healthy, standardized development in the rental sector.

Shenzhen-based legal experts say the new rules signal a move into a “refined governance” stage and directly address long-standing pain points for both renters and landlords.

An aerial view of Xinzhou in Futian District. Photos by Shenzhen Evening News

To curb the risks posed by unsafe or unsuitable rental spaces, the regulations explicitly prohibit leasing kitchens, bathrooms, balconies, or garages as living quarters. They also require that the maximum number of occupants per room and the minimum average living area per tenant comply with standards set by local governments.

Landlords must provide tenants with documentation proving their identity and their right to rent the property, such as an ID card and property-ownership certificates. Except in legally permitted circumstances, landlords are barred from entering rented homes without tenant consent.

When a security deposit is charged, the contract must specify the amount, the conditions and timing for its return, and the situations in which deductions may be made. If landlords choose to terminate a lease, they must give tenants notice and allow a reasonable period for moving. Forced evictions using violence, threats, or other coercive means are expressly forbidden.

Tenants are likewise required to present identification to landlords and use rented properties in a safe, reasonable manner. Furthermore, renters cannot alter load-bearing structures, damage fire-safety equipment, or modify other facilities without landlord approval.

An aerial view of Yeshu Village in Shangsha, Futian District — one of the most densely populated rental communities in Shenzhen. 

Senior lawyer Liu Yinhong said the regulations are essential for promoting high-quality development of China’s rental housing market. “They protect the rights of both landlords and tenants and set clear rules for landlords and agents,” he said.

Local tenants welcomed the changes. Ms. Wang, who rents in Shangsha Yeshu Village in Futian District, said, “I’ve moved three times, and each time my security deposit was withheld by the landlords.” Like many renters, she cited cases in which landlords deducted large sums for minor wall scratches or worn furniture.

Under the new rules, landlords are responsible for structural, plumbing, electrical and gas defects caused by normal wear. If a landlord fails to maintain a rental unit and make repairs in a timely manner, tenants may make repairs and charge the landlord."

“Once the air conditioner broke, and the landlord took half a month to fix it,” Ms. Wang recalled. “I had to survive on a fan in sweltering heat. Now, I’ll write a repair-response deadline into the contract and file it on the official platform so everything is on record.”

A Futian landlord who owns three flats, identifying himself as Mr. Wang, said he initially feared that the regulations were too harsh on landlords. However, he now believes they will reduce disputes and vacancies, creating benefits for both sides. Landlords who use the standardized contract and register their leases may even qualify for tax rebates, he added.

"Once I comply, my tenants are more likely to stay, and I'll come out ahead in the long run," he said.