In this study, the policy changes and controversies in China regarding the relocation of rural historic buildings are explored. After the 2010s, the demands of revitalising the countryside required the relocation of rural historic buildings by transferring use rights and changing functionality as a widely accepted method of balancing urban and rural resources. In this process, international heritage conservation ideals and national sentiments were institutionalised to rationalise official-led relocation actions and discourse in response to potential disputes. However, the difference in the perception of the value of rural heritage has led to confusion and mixed standards in the practice of adaptive heritage reuse. In the case of Xixinan, reveals that using heritage for the primary purpose of commercial exploitation guided by private capital has resulted in heritage becoming a tool for profit-making and a vehicle for urban high-capital groups to intervene in rural areas, exacerbating the potential loss of cultural value and the authenticity of heritage.