Beijing promotes second-hand housing "transfer with mortgage" A number of banks responded that they still need supporting operating rules

Peng Yan, reporter of this newspaper

On March 3, Beijing officially launched the "transfer with charge" model for stock housing transactions. In order to explore the specific operation of banking institutions on "transfer with charge", the reporter of "Securities Daily" recently interviewed a number of banks. Most banks said that they have not yet received the notice and specific operation rules for carrying out the "transfer with charge" of second-hand houses, and it may still take time for the "transfer with charge" to land. There are also a small number of banks that at present, they can only implement the second-hand housing "mortgage transfer" business of the same bank, and the interbank related business cannot be implemented for the time being.

Most banks

The "transfer with escort" business has not yet been opened

On March 3, the Beijing Regulatory Bureau of the China Banking and Insurance Regulatory Commission and other four departments jointly issued the Notice on Promoting the Work Related to the "Transfer with Charge" of Individual Stock Housing Transactions, which indicates that Beijing has officially launched the "transfer with charge" model for stock housing transactions. When selling a house in Beijing, residents no longer need to settle the existing mortgage loan in advance, and can directly register the transfer of housing ownership without the original mortgage right being released.

During the interview, a personal loan staff member of a large state-owned bank in Beijing told reporters that at present, the second-hand housing "mortgage transfer" business service is not provided, but the bank has been actively promoting related work. "Mainly considering that there are certain risks in the business, in order to improve the relevant processes and agreements, and do a comprehensive risk investigation, it may take some time for the 'transfer with charge' business to be fully implemented."

A staff member of another joint-stock bank told reporters that his branch has not issued a notice related to the "transfer with charge" of second-hand houses, and there are no specific implementation rules.

However, some banks have said that they can provide "transfer with charge" business. For example, a staff member of the personal loan department of a large state-owned bank in Beijing said that at present, banks can only realize "transfer with mortgage" within the bank, but interbank business does not support it, that is, the seller's loan and the buyer's loan must be in the same bank.

"'Transfer with charge' can not only adopt the peer loan model, but only one bank can handle this business." A personal loan staff member of another large state-owned bank in Beijing said that at present, there are no actual cases of "transfer with charge", and there are not many customers who consult this business, but it will be popularized in the future, and more banks will implement the second-hand housing "transfer with charge" business.

Wang Qing, chief macro analyst of Oriental Jincheng, said in an interview with a reporter from Securities Daily that banks need to pay attention to the following issues in the process of implementing the "transfer with charge" business: First, there may be a risk of loss of housing loans, especially if the buyer chooses to borrow from other banks; On the other hand, if the loan cannot be successfully implemented after the buyer's closing, it will lead to the risk of mortgage overhang.

Beware of "transfer with escort"

Risk vulnerabilities during implementation

"Transfer with charge" is an innovation in the real estate transaction model, and buyers and sellers should pay attention to the corresponding risks while enjoying the convenience and efficiency brought by "transfer with charge".

Wang Qing said that the implementation of "transfer with charge" is mainly to facilitate second-hand housing transactions, and the launch of the "transfer with charge" policy reflects the policy orientation of responding to market demand and facilitating the people. At the same time, this will also indirectly expand the market demand for new commercial housing.

While "transfer with charge" brings transaction convenience, there are also some risk points. Wang Qing believes that first of all, for house sellers, "transfer with mortgage" does not mean exempting sellers from the responsibility of repaying the mortgage - if the proceeds from the sale of second-hand houses are not enough to repay the existing mortgage, sellers need to raise money through other means. For buyers, "transfer with charge" reduces the risk of capital advance in the transaction process, but it is still necessary to pay attention to whether the second-hand house itself has clauses such as restrictions on transactions. Secondly, "transfer with charge" often involves a fund guarantee institution and requires the signing of a new contract. Both buyers and sellers should carefully review the specific terms of the contract to prevent new risks in the process of entering into a new contract.

In fact, since August 2022, many cities such as Jinan and Guangzhou have taken the lead in piloting the "transfer with charge" policy. According to the monitoring data of the China Index Research Institute, up to now, more than 8 provinces, cities (counties) across the country have carried out the second-hand housing "mortgage transfer" business.

"Focus on guiding the real estate industry to achieve a soft landing as soon as possible, and more cities will follow this policy in the future." At the end of March, Beijing officially launched the 'transfer with charge' model for stock housing transactions, which sends a signal that the policy continues to support the release of real estate demand, which is of greater significance in maintaining the recovery momentum of the property market and boosting market confidence. Wang Qing said. (Securities Daily)