2014-10-25

Real Estate Rescue Efforts Approach 2008 Levels

Although the central bank is still refusing to wreck the currency, local governments are rushing to pile on rescue measures in the face of falling home prices. These efforts are similar to the efforts in 2008, with the big difference being the lack of a major stimulus policy from the top.

More than 20 cities are now giving subsidies to home buyers. In Shandong province, the Weifang municipal government has waived the transaction tax (deed tax) on purchases of homes smaller than 90 sqm. A 50% rebate rebate is available for larger home purchases as well as for office space.

Ningbo is offering college graduates a rebate worth 0.75% to 1% of the total price of the home.

Aside from these two, Tianjin, Shaoxing, Hangzhou, Suining, Meishan, Tongling, Xuancheng, Wuhu, Changsha, Nanjing, Shenyang, Wuhan, Changzhou and Huluda are among the more than 20 cities offering subsidies or tax breaks.

The Achilles' heel of these efforts, besides the lack of monetary stimulus, is the fact that home buyers can wait 1 month and obtain the same discount.

iFeng: 超20城急推购房补贴 救市力度接近2008年

No comments:

Post a Comment