China reduces the minimum down payment for home buyers
Real Estate

China reduces the minimum down payment for home buyers

In an effort to stimulate the local real estate market, Beijing, the capital of China, announced measures to lower the cost of purchasing a home, including lowering mortgage interest rates and the required minimum down payment. The actions, which were disclosed in a statement from the local government, follow the central bank's announcement last month of new rules lowering minimum mortgage rates and down payments, which prompted property policies to be loosened in dozens of cities. According to the statement, Beijing is reducing the required minimum down payment for a first-time house buyer from 30% to 20% and for some second-home purchasers from 40% to 35%. Additionally, the city is lowering the floor rate for a first-time home mortgage to 45 basis points less than the loan prime rate (LPR). The floor used to be the LPR + 10 basis points. Due to Beijing's actions, the four largest cities in China have now loosened their mortgage and other regulations, which should increase demand from homebuyers, according to analyst Yan Yuejin of the E-House China Research and Development Institution. The second-largest economy in the world has been severely hampered by China's failing real estate sector.

In an effort to stimulate the local real estate market, Beijing, the capital of China, announced measures to lower the cost of purchasing a home, including lowering mortgage interest rates and the required minimum down payment. The actions, which were disclosed in a statement from the local government, follow the central bank's announcement last month of new rules lowering minimum mortgage rates and down payments, which prompted property policies to be loosened in dozens of cities. According to the statement, Beijing is reducing the required minimum down payment for a first-time house buyer from 30% to 20% and for some second-home purchasers from 40% to 35%. Additionally, the city is lowering the floor rate for a first-time home mortgage to 45 basis points less than the loan prime rate (LPR). The floor used to be the LPR + 10 basis points. Due to Beijing's actions, the four largest cities in China have now loosened their mortgage and other regulations, which should increase demand from homebuyers, according to analyst Yan Yuejin of the E-House China Research and Development Institution. The second-largest economy in the world has been severely hampered by China's failing real estate sector.

Next Story
Technology

Step down your carbon footprint!

The construction industry is a major contributor to global carbon emissions, accounting for a significant portion of the world's greenhouse gases (GHGs). Key materials like cement, steel, aggregates, and bitumen are primary sources of these emissions. As urbanisation continues to accelerate, especially in developing countries such as India, the environmental impact of construction activities is becoming increasingly severe. This situation necessitates the adoption of sustainable construction technologies to mitigate the carbon footprint associated with construction projects. Major contrib..

Next Story
Infrastructure Urban

Wilo Mather aims 25% revenue from exports

Wilo Mather and Platt Pumps, a leading manufacturer of pump solutions, is targeting to generate 25% of its revenue from exports over the next 2-3 years. This strategic goal underscores the company's commitment to expanding its global footprint and capitalising on growing international demand for high-quality pump systems. The company plans to leverage its strong engineering capabilities and innovative product portfolio to penetrate new markets and increase its share in existing ones. Wilo Mather and Platt Pumps aims to enhance its presence in regions such as the Middle East, Southeast Asia, an..

Next Story
Infrastructure Urban

Adani Group to raise up to $3 billion in equity

Adani Group has unveiled plans to invest a staggering ?1.3 trillion in the fiscal year 2025, alongside raising up to $3 billion in equity. This ambitious investment strategy is set to fuel the conglomerate's diverse growth initiatives across multiple sectors, including energy, infrastructure, and logistics. The ?1.3 trillion investment will be allocated to expanding Adani Group's presence in renewable energy, enhancing port capacities, and developing cutting-edge infrastructure projects. These investments aim to bolster India's economic growth, create jobs, and promote sustainable development...

Hi There!

Now get regular updates from CW Magazine on WhatsApp!

Click on link below, message us with a simple hi, and SAVE our number

You will have subscribed to our Construction News on Whatsapp! Enjoy

+91 81086 03000

Join us Telegram