Jingzhou, Hubei Reverses Real Estate Easing

Chinese cities have implemented some easing policies following the coronavirus demand shock, but anything that hints at a generalized easing is being rolled back, even in hard-hit Hubei province.

iFeng: 房地产,房产,公积金,公积金贷款,楼市,存活期仅2天！全国尺度最大楼市宽松政策被收回

Jingzhou City, Hubei Province announced a new property market policy on April 20, which included reducing the down payment ratio for the first suite to 20%, down payment for the second suite to 30%, and exemption from deed tax for a limited time. But the policy only "survived" for two days. The official website of the Jingzhou Municipal Government issued a notice on the evening of April 22, stating that it was inconsistent with some provisions of the "Notice of the General Office of the Provincial People ’s Government on Printing and Distributing Measures to Promote the Stable and Healthy Development of the Construction Industry and Real Estate Market. The municipal government studied and decided to stop implementing the property market policy issued on April 20.

Jingzhou withdraws the new policy of the property market. According to the "Jingzhou Opinions" issued by the People ’s Government of Jingzhou on April 20, it is clear from now until June 30, 2020 A few days ago, after purchasing a newly-built commercial house in this city, after paying the deed tax, the financial department will reward the full amount. First-line medical staff participating in epidemic prevention and control purchase houses in this city, and the preferential period of house purchase deed tax is extended to December 31, 2020. The maximum amount of personal housing provident fund loans increased from 450,000 yuan to 500,000 yuan. During the epidemic prevention and control period, if the personal housing provident fund loan cannot be repaid normally before June 30, no overdue treatment will be made and no penalty interest will be charged.

For personal loans, the "Jingzhou Opinion" also made it clear that it will speed up the lending rate of personal loans. Because of the personal loans that have been submitted for approval for the purchase of real estate and parking spaces, banks should speed up the lending and ensure the orderly placement of personal housing loans. For the first time, a resident family purchases a commercial personal housing loan for ordinary commercial housing with a down payment ratio of not less than 20%; for a resident family who owns one set of housing and the corresponding purchase price is not settled, apply for a commercial personal housing loan again to improve the living conditions. For commercial housing, the down payment ratio is not less than 30%.

According to relevant media reports, prior to this, the first down payment for commercial housing in Jingzhou was generally not less than 30%, and some properties were not less than 20%. When purchasing a second suite, the down payment ratio is not less than 50%, and some properties are not less than 40%. At that time, Li Guozheng, director of the Central China Market Research Center of the Central Finger Institute, said in an interview with a reporter from the Daily Economic News (micro signal: nbdnews) that the New Deal in the Jingzhou property market has been very supportive of the consumer side.

At present, it is the largest easing by a city in China. Li Guozheng believes that "after the Jingzhou sample, other cities in Hubei, such as Wuhan, are expected to introduce a more targeted new property market policy." However, two days later, the official website of the Jingzhou Municipal Government was on April 22 The notice was issued because it was inconsistent with the relevant notice clauses at the provincial level, and it was decided to stop the implementation of the new property market policy issued on April 20. According to China Real Estate News, a real estate executive said frustratedly, "Why is the government ’s policy changing all the time, and frequent day trips? This is really confusing!"

...Zhang Dawei believes that under the influence of the epidemic, the strict real estate regulation in the past should indeed be adjusted, especially in line with the principle of housing and housing, and certain policies should be introduced to meet the needs and improvements. This is not Violating the principle of regulation and control of the property market will not have much impact on the market. However, including loosening policies such as a marked reduction in down payment, there is indeed a suspicion of encouraging real estate speculation. At present, most of the policies to save enterprises for the adjustment of purchase restriction policies, talent policies, and provident fund policies can be implemented. On the whole, property market policies continue to occur frequently, and temptations to loosen policies in cities around the world will still frequently occur. The local government did not consider it before the policy was issued, and recalled it freely after it was introduced. For the market, the interference was very serious.