Homeowners Hike Prices in Wake of Govt Support

Existing homeowners jacked up prices before the day was over following the announcement of housing support. (See PBOC Follows Through on Mortgage Changes for background)

Here's a story from Nanjing:

Last year already married Xiaoshao wanted to trade up. After the Chinese New Year Year of the Goat, he put the house on the market, the price is ￥2.38 million, "the agency told me that because I've owned the house less than 5 years, I have to pay sales tax like ￥110,000 to ￥120,000, so the net price would not want to get too high. "

He made a deal to sell the home to buyers for ￥2.38 million, but after the government announced the tax cuts and changes to mortgages, he called the buyer and raised the price to ￥2.5 million. The buyer accepted because under the new policies, their total cost will be about the same as before due to the lower sales tax. The home in this case was a good value for the money as well, so demand was strong.

iFeng: 新政后二手房主连夜涨价 足足多卖12万