China News Agency, Beijing, September 7 (Reporter Wang Enbo) The spokesperson of the China Banking and Insurance Regulatory Commission introduced on the 7th that as of the end of July, real estate financing showed "five continuous declines."
Among them, the growth rate of real estate loans hit an 8-year low.
Since the implementation of China's real estate financial supervision "three lines and four files" and concentration management, the effect of real estate companies' leverage reduction has gradually emerged, and the real estate long-term mechanism has been further implemented.
In response to a reporter’s question, the aforementioned spokesperson said that the China Banking and Insurance Regulatory Commission has always adhered to the positioning of “houses are used for housing, not for speculation”, and centered on the goal of “stabilizing land prices, housing prices, and expectations”, it continues to improve the real estate financial supervision mechanism to prevent The excessive concentration of real estate loans promotes a virtuous cycle of finance and real estate.
For example, manage the real estate credit gates, adhere to the prudential supervision standards for real estate development loans and personal mortgage loans, and strictly implement the real estate loan concentration management system.
To curb the illegal inflow of "operating loans" into the real estate sector, the special investigation on the illegal inflow of operating loans into real estate has been basically completed, and the establishment of a ledger for the discovered violations has been urged to rectify item by item to "clear zero sales number".
Guide bancassurance institutions to increase support for affordable rental housing, and promote insurance funds to support the development of the long-term rental market.
The spokesperson revealed that as of the end of July, real estate financing showed "five continuous declines."
First, the growth rate of real estate loans hit an 8-year low. Real estate loans in the banking industry increased by 8.7% year-on-year, which was 3 percentage points lower than the growth rate of various loans.
Second, the concentration of real estate loans has declined for 10 consecutive months, and the proportion of real estate loans in various loans has dropped by 0.95% year-on-year.
Third, the scale of real estate trusts has continued to decline since June 2019, and the balance of real estate trusts has fallen by approximately 15% year-on-year.
Fourth, the scale of investment in non-standard real estate assets of wealth management products has continued to decline in the past year, and the balance of related wealth management products has fallen by 42% year-on-year.
Fifth, the scale of banks investing in the real estate sector through special purpose vehicles has continued to decline for 18 consecutive months, and the scale of related businesses has dropped by 27% year-on-year.
At the same time, the China Banking and Insurance Regulatory Commission also urged banking institutions to provide differentiated support for the rigid needs groups in terms of loan down payment ratio and interest rate.
As of the end of July, personal mortgage loans accounted for 92% of first homes, and loans in the housing rental market increased by 29% year-on-year.
(over)