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Key Considerations for Fully Decorated Prefabricated Homes

Will houses become uniform? How can we ensure the quality of decoration while meeting individual needs?

In Zhejiang, the era of delivering unfinished houses is gradually coming to an end, giving way to fully decorated homes.

Recently, the Department of Housing and Urban-Rural Development of Zhejiang Province issued a notice announcing the official approval of the provincial engineering construction standard titled “Quality Acceptance Specification for Fully Decorated Residential Interior Decoration Engineering” (hereinafter referred to as the “Specification”). This standard, developed by the Zhejiang Provincial Building Decoration Industry Association and other organizations, will take effect on July 1, 2017.

Our reporter interviewed over ten people who are planning to buy a house, currently renovating, or have recently completed renovations. Most expressed support, appreciating the convenience and peace of mind the new standard promises. However, some industry insiders believe many detailed issues still require further regulation.

Clear Regulations for Indoor Environment

As early as May 1 of last year, Zhejiang Province implemented the “Zhejiang Province Green Building Regulations”, becoming the first in the country to promote full decoration of residential buildings. On September 10, the General Office of the People’s Government of Zhejiang Province issued the “Implementation Opinions on Promoting the Development of Green Buildings and Building Industrialization”, which stipulated that, from October 1, all newly built residential buildings on land sold or allocated in the central urban areas of cities and counties must be delivered fully decorated. It also encouraged active promotion of full decoration for buildings under construction.

On October 9, the Provincial Department of Construction announced plans to vigorously develop prefabricated buildings and promote green buildings aligned with modern urban construction. The full decoration initiative will initially be piloted in core urban areas and designated zones. At the same time, homeowners will have options for menu-style decoration or commissioned decoration to allow personalized customization.

According to the regulation, “full decoration” means that before delivery, all fixed surfaces of indoor functional spaces are fully finished with flooring or paint. Essential systems such as water supply and drainage, gas, ventilation, air conditioning, lighting, power, and intelligent systems are installed and operational. Basic facilities like kitchens and bathrooms are fully equipped and meet functional requirements, allowing immediate occupancy. Importantly, “full decoration” differs from “fine decoration,” reflecting different levels and standards of finishing.

The “Specification” offers detailed guidelines covering thirteen key areas of full decoration, including waterproofing, doors and windows, suspended ceilings, lightweight partitions, wall and floor finishes, detailed finishing works, kitchen and bathroom engineering, electrical and intelligent systems, water supply and drainage, heating, ventilation, air conditioning, and indoor environmental pollution control.

It specifies acceptable materials, their specifications, patterns, colors, performance criteria, installation locations for lighting fixtures, partition materials, sanitary ware, and installation methods. Furthermore, the standard sets limits on indoor pollutants such as formaldehyde, benzene, ammonia, radon, and total volatile organic compounds (TVOC), addressing homeowners’ primary health concerns.

According to sources, these new regulations refine the standards outlined in last September’s “Implementation Opinions” and provide overall guidance for local standards across regions.

Will Houses Be Uniform?

Despite widespread approval, some respondents worry about potential rework costs stemming from mismatched styles. Concerns include the lack of distinctive features and designs that may not suit individual living habits. There are also worries about the impact on housing prices, as incorporating decoration costs into the purchase price could increase prices by at least 1,500 to 2,000 yuan per square meter.

So, after promoting full renovation of residential properties, will new homes really look the same?

In fact, the promotion of “full decoration” includes options such as menu-style decoration, allowing homebuyers to select from different designs that accommodate a range of budgets and styles. These choices are presented during the design phase and can be selected at the time of signing the purchase agreement.

Full decoration is not merely adding finishes to a bare house; it integrates civil engineering, design, construction, and kitchen and bathroom installation. According to the Ministry of Construction, residential decoration design must be completed before the main construction begins, ensuring that prefabricated houses have integrated decoration and civil installations.

Ensuring Decoration Quality

Ensuring the overall quality of decoration is a major concern for homebuyers. According to regulations, fully decorated homes should undergo inspection by government-commissioned construction quality and safety supervision stations, just like unfinished houses. This should alleviate concerns about the condition of handed-over furnished homes.

However, challenges remain. Some homeowners still report dissatisfaction with rough houses despite existing inspections.

Compared to structural construction, residential decoration projects involve more complexity and finer details. How will inspections of fully decorated homes be handled? How can homeowners assess their properties effectively? These require professional expertise.

Cui Gang, general manager of Cui Gong’s house inspection studio, notes that after delivery, owners need to conduct additional inspections. Inspectors experienced in rough construction may not be qualified for full decoration inspection, which covers water, electricity, gas, materials, workmanship, and more, making it a more demanding process.

Huang Jiayu, Marketing Director of Yunhe Chenyuan, believes that full decoration is undoubtedly the future. Previously, developers applied their own decoration standards, but now a unified reference standard benefits the industry. However, promoting full decoration may also lead to more complaints at project handover. The current regulations leave some issues unclear, such as how to address non-compliance, what standards must be met to satisfy homeowners, whether compensation is required after rectification, and what constitutes passing inspection.

Meeting Individual Needs

The concept of “full decoration” is not only reshaping the commercial housing market but also impacting the entire supply, design, and decoration industry chains. This change forces a major industry reorganization.

Industry insiders describe this transformation as unprecedented in scale. However, this shake-up will lead to higher standards and models. Many outdated and inefficient enterprises will be eliminated, while top-tier companies will thrive. Communication between the home decoration industry and homeowners will increasingly be managed through real estate companies, leading to more standardized processes, transparent costs, and building materials, and a competitive bidding system within the industry.

In recent years, many real estate projects in Hangzhou have experimented with refined decoration, attracting buyers but also drawing criticism focused on quality and practicality.

It is clear that while developers gain greater control through full decoration, they also face increased pressure. The biggest challenge for the decoration industry will be accommodating diverse living habits and needs, as well as integrating personalized customization into the home sales process. These factors will directly impact user satisfaction with fully decorated homes.

Experts predict a significant shift in design and home decoration, moving from a focus on hard decoration to soft decoration, and extending to larger homes.

Large real estate companies such as Vanke, Greentown, and Binjiang, which have developed refined decoration brands and robust procurement systems, see fully decorated properties as an excellent opportunity. Smaller developers, however, face challenges and potential reshuffling. Those establishing advanced high-end decoration research and development departments are expected to lead, while others may struggle.

The Greatest Benefit: Reduced Energy Consumption

The Industry Development Department of the China Building Decoration Association notes that residential decoration and renovation typically generate about two tons of waste per household, with 85% being recyclable and reusable.

Industry insiders emphasize that compared to rough houses, fully decorated homes significantly reduce costs, ensure quality, and minimize pollution and waste through unified batch construction. They better meet health, safety, and environmental protection standards and play a vital role in promoting green buildings.

The saying “Buying a house is easy, but renovating it is hard” resonates deeply with many who have experienced renovation firsthand. Renovating a bare house often results in massive resource waste from repeated remodeling, safety hazards caused by wall demolition and drilling, and prolonged construction periods that disrupt communities and neighbor relations.

Vanke began offering decorated homes in Hangzhou in 2006, and now all residential properties, including villas and townhouses, follow this practice. A company representative said that delivering fully decorated homes reduces material waste and supports environmental protection, reflecting a commitment to social responsibility. It also shortens the move-in timeline, preventing situations where neighbors continue decorating for years after purchase, disturbing residents.

From projects like Xixi Butterfly Garden to Caozhuang, and with the release of the 2017 residential decoration standards, Vanke has been a pioneer in residential decoration.

International and domestic housing industry experience shows that fully decorated housing is a mature industrial trend. Since the 1970s, many European and American countries have promoted fully furnished homes. In Hong Kong, Macau, and Singapore, nearly all new homes are fully decorated. In major Chinese cities like Beijing, Shanghai, Guangzhou, and Shenzhen, the delivery of fully decorated new homes is already significant.

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