Wednesday 20 September 2017

Chinese cities act on property rises

Tightening measures have spread from areas such as Shanghai. Photo: Deposit
Tightening measures have spread from areas such as Shanghai. Photo: Deposit

Two cities in China have unveiled a package of measures designed to stem a surge in property prices, as more local politicians are gearing up to cool overheating house markets.

Nanjing, Jiangsu's provincial capital, and Suzhou, a regional manufacturing base that's a 30-minute train ride from Shanghai, will raise deposit requirements for some buyers of second homes to 50pc, the two city governments said in statements on official microblogs.

Mortgage deposit thresholds were 45pc in Nanjing and 40pc in Suzhou. Rules for both cities will take effect from August 12.

Tightening measures have spread from larger hubs such as Shanghai and Shenzhen as local officials tackle overheating that followed stimulus rolled out from November of 2014.

The cities of Xiamen, in Fujian province, and Hefei, in Anhui, have already acted.

Irish Independent

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