2014-08-06

Cities Turn to Easy Credit, Tax Subsidies and Cash Giveaways to Stoke Housing Market

The cancellation of buying restrictions had little effect on most markets, so cities are following up with credit easing. Borrowers must make a larger downpayment and generally pay higher interest rates for a mortgage on a second home, but Guangxi plans to ease these credit restrictions.

The article also mentions the bailout plan for Baotou, Inner Mongolia. From September 6 through 10, to coincide with a real estate expo, the city will subsidize the real estate deed tax. First time home buyers will receive a 100% subsidy. Second home buyers or buyers who won't live in the home will get a subsidy of 50%. Buyers will also receive ¥2000 per home purchased.

地方政府放松限购后又松绑限贷 加大楼市刺激
The 5th, Guangxi announced that it will be appropriate to relax two suites lending policies, and vigorously promote housing consumption. This is following the Shaoxing, a second pair of differential housing credit adjustments areas. Recently, with the purchase of local deregulation in some areas, there has been focus on short-term net signed volume rose to give the "Indian summer", but with the bulk of digestion and relax the restriction did not bring a greater impact on the local property market. Therefore, some local buyers turn to relax a great impact on the credit limit.

In this regard, the industry said, from the current market, because of the economic slowdown or local government reliance on real estate increased significantly. In this context, local government intervention propulsion power increase over the bailout enthusiasm will continue to rise. Under the loan is expected to loose, showing part of the property or to pick up, but this approach or cause other cities to follow suit.

Guangxi, said it will implement differentiated housing credit policy, the introduction of specific measures. Will be appropriate to relax the two suites lending policies, timely, reasonable adjustments individual housing provident fund loans to the maximum amount to vigorously promote housing consumption.

It is worth noting that, in Guangxi is not the first one to relax credit limit areas. Recently, Shaoxing City, Zhejiang Province of Housing and Urban-Rural Construction Bureau has issued "on the promotion of urban real estate market is stable and healthy development of opinions", not only for the local purchase policy adjustments, stop execution Shaoxing household purchase restrictions on non-residents. Also on the real estate mortgage loan provisions, which must adjust --- Second Suite "Housing does not recognize loan", that is the number of houses to be used as home buyers actually have that standard, without regard to the number of home loans, down payment down Zhisi Cheng , became the first pair of differentiated credit adjustments city.

Shaoxing City building housing the Bureau said from January to June this year, Shaoxing City real estate market volume decline, sales area can continue to increase market supply and demand relationship has changed, individual real estate development enterprises have emerged capital chain tension, a substantial markdowns and other issues . To promote the healthy development of the real estate market, guard against market risks, local and therefore be adjusted.

It is worth noting that in place while loosening real estate loans, tax relief, subsidies, improve the provident fund loans and other support policies turns on stage.

The 5th, Baotou municipal government announced that the government decided to host the 2014 Housing Fair on September 6 to 10, to buy the first set of new commodity housing period, giving the Fibonacci 100% tax subsidies; give 50% more than buying two sets subsidies; purchase of non-residential, giving 50% subsidy. Purchase of new housing, to 2000 yuan / sets of financial subsidies. Housing provident fund loans increased by half a guarantee fee, assessment fee. Fujian said it would give priority to employees provident fund deposit with the Fund for the first time home buyers to purchase ordinary housing for five years, second-hand sales tax-free transfer.

Guangxi, the extract also relaxed the remote purchase restrictions, allowing no room for family housing provident fund deposit extraction workers to purchase a home and a job domicile outside the city to support loan demand deposit employees to purchase ordinary housing in principle, timely reasonable adjustments individual housing provident fund loans to the maximum amount.

Shaoxing also fund policy has been adjusted. Shaoxing introduced policies since 2011 to suspend its urban secondary loan fund policy lapse three years after the recovery again. And clearly has purchased commodity housing with housing provident fund loans and pay off the loan, up to 600,000 yuan can working parents, single workers up to 50 million credit second application housing provident fund loans to buy housing.

Centaline Dawei, director of market believes that the recent local government is eager to boost market confidence in the transaction, declined to relax after the purchase of real estate is still the main reason to promote local upgrading bailout.

Vice president of Shanghai E-House Real Estate Research Yanghongxu [microblogging] also said, a place to relax credit limit, under the loose lending, stimulate the market effect is greater than the relaxed restriction, or cause other cities to follow suit.

China Index Research Institute [microblogging] believes that additional measures to encourage financial institutions to support the first mortgage, the next stage will be the governments around one of the important means of promoting the real estate market rebound. But note that the mandatory administrative measures contrary to the interest rate market-oriented financial reform, Shaoxing effect of this adjustment remains to be seen. To other cities, how to encourage financial institutions to tilt to the loan business, will be the key to solving the problem. In addition, since the previous three-year restriction demand for improved resistance caused a certain degree of injury, has been strictly enforced "Housing has identified loans," Second Suite that standard principles or will be relaxed in some cities.

"In the local policies frequently while relaxing we also see that the central differentiated credit continues to adhere to the principles, and has repeatedly stressed its importance for the protection of self-occupied reasonable demand, speculative investment demand will be sustained suppression, general relaxation No loan may be more suites. "The agency pointed out.

No comments:

Post a Comment