Using Nanting Village in Guangzhou Higher Education Mega Center as a study case, this research attempts to interpret the emerging housing rental market in the studentified village from a new institutional economics perspective, so as to fill the gap of lacking sufficient understanding of institutional environment and mechanism of housing rental phenomenon in studentified neighborhood. Under the background of studentification, housing rental in Nanting Village becomes a complex phenomenon. We observed a unique pattern and high flexibility in the relationship between supply and demand. The research shows that, owing to the dichotomy of urban and rural system and the unique governance mode in urban villages which highly depends on the village collective, formal institutional arrangements at all government levels have not been fully implemented, and the governance of formal institutions are not efficient. It is worth noting that, these informal institutions, however unstable and volatile, have played an important role to safeguard and promote the development of housing rental market in Nanting Village, and maintain the interest of relevant stakeholders. Throughout the rental process, different stakeholders, including students, villagers, and administrative departments, all demonstrate certain patterns of rent-seeking behavior.