China News Service, September 29. On September 29, the People's Bank of China and the China Banking and Insurance Regulatory Commission issued a notice deciding to adjust the differentiated housing credit policy in stages.
Eligible city governments can decide on their own to maintain, lower or cancel the lower limit of the local new first-home loan interest rate by the end of 2022.
Figure from the official website of the People's Bank of China
The notice shows that for cities where the sales prices of newly built commercial residential buildings from June to August 2022 have continuously dropped month-on-month and year-on-year, before the end of 2022, the lower limit of the interest rate of commercial personal housing loans for the first set of housing will be relaxed in stages.
The lower limit of the interest rate policy for commercial personal housing loans for two sets of housing shall be implemented in accordance with the current regulations.
In accordance with the principle of "policy based on the city", the city government that meets the above conditions can independently decide to maintain, reduce or cancel the lower limit of the local first residential commercial personal housing loan interest rate in stages according to the changes in the local real estate market situation and regulatory requirements. The agencies dispatched by the China Insurance Regulatory Commission shall guide the implementation of the provincial-level market interest rate pricing self-discipline mechanism.
(Zhongxin Finance)