1. Different income from property rights: small property houses have no real estate license and no legal ownership, transfer, disposal and income rights; Commercial housing has complete procedures and legal ownership, transfer, disposal and income rights.
2. Is there a real estate license: if you buy a small property right house, you can't get the real estate license, land use certificate and deed tax certificate issued by the state; Commercial housing is issued by the state with property right certificate, state-owned land use certificate and deed tax certificate.
3. Different legal protection: there is no land use certificate and pre-sale permit issued by the state for small property houses, and the State Bureau of Land and Housing Management will not put the purchase contract on record, so the sale of small property houses is not protected by law; Commercial housing is approved by the state, and the sale is protected by state laws.
4. Different mortgages: you can't apply for a loan from a bank when you buy a small property right house, you can't use a provident fund loan, and you can only pay in one lump sum or in installments; Purchase of commercial housing can apply for mortgage loans, eligible can also apply for provident fund loans.
Risk:
1. Urban residents can't register and issue certificates when they buy illegal land such as homestead, farmers' houses or "small property houses" in rural areas.
2. Small property houses can't get formal real estate licenses, so they don't constitute real estate rights in the legal sense. That is, small property houses have only the right to use and no ownership. Therefore, it cannot be legally transferred, which has a great impact on its appreciation space.
3. The purchase contract is not protected by law, and disputes are easy to occur between buyers and sellers. In case of land requisition and demolition by the state, they may not get the compensation for demolition.
4. When you want to apply for bank loan mortgage, the small property right house was built without the approval of the competent department, and the buyers can't provide legal property right certificates, so you can't apply for mortgage loan.
Extended data:
Small property right houses refer to houses built on rural collective land, which do not pay land transfer fees. Their property right certificates are not issued by the national housing management department, but by the township government or village government, also known as "township property rights houses".
"Small property right house" is not a legal concept, but a conventional title formed by people in social practice. This kind of house has no land use certificate and pre-sale permit issued by the state, and the purchase contract will not be filed with the State Administration of Land and Housing. The so-called property right certificate is not really legal and effective.
The "small property right house" can't get the official real estate license, so it doesn't constitute the real estate right in the legal sense. That is, small property houses have only the right to use and no ownership. According to "People's Republic of China (PRC) Land Management Law", houses with small property rights cannot be transferred or sold to third parties who are not members of the collective, that is, they cannot be legally transferred after purchase. At the same time, it also has a certain impact on the preservation and appreciation of houses.
There is no clear regulation to restrict the development and construction of rural property houses, and the lack of supervision over development and construction has a certain impact on the interests of buyers. At the same time, without the qualification of developers, it is difficult to guarantee the quality of houses and the after-sales warranty of houses.
References:
Baidu encyclopedia of small property houses