China’s Local Governments Issue 575 Property Market Control Policies in 2019
The number of policies launched by Chinese local governments to corral real estate markets within their jurisdiction has risen considerably in 2019.
Data from Centaline Group indicates that China’s local governments have launched a total of 575 in 2019, for a 27.8% increase compared to the 450 policies launched in 2018.
The Heilongjiang municipal government just recently stipulated that real estate companies must guarantee that the funds used for land purchases at auction are their own self-owned funds in compliance with regulations, and are not loans or funds obtained via capital markets.
On 11 December the Changsha municipal government announced that it would cap the average rates for commercial home financing to 6 – 8%, as part of efforts to “standardise” prices.
Data from the National Bureau of Statistics indicates that only 44 out of 70 large and medium-sized Chinese cities saw a rise in new commercial housing prices in November – the lowest number in nearly two years, while the number of cities that saw a price slide increased to 21.