(Yicai Global) Aug. 20 -- China's second and third-tier cities, such as Luoyang in central Henan province and Nanchang in southeastern Jiangxi province, are ramping up their measures to attract young talent with housing subsidies complete with local residence permits.

Luoyang has begun to offer qualified college students that are starting their own businesses a housing subsidy worth up to CNY1 million (USD146,000) for home purchasers, or CNY4,000 (USD584) per month for tenants, state-backed Xinhua News Agency reported. The economic incentive will last for a maximum of three years and requires no previous experience of living in the city.

Nanchang introduced its own accommodation subsidy system early this month, under which the city will refund 50 percent of first-time home purchases that go up to CNY2 million, while implementing specific criteria for eligible groups of buyers. 

Editor: Emmi Laine