Hangzhou relaxes curbs on homebuyers
Zhejiang capital latest to publicly announce home policy changes, sparking stock rally
The relaxation of housing policies on the mainland boosted property stocks this month but any significant impact on transactions has yet to be seen.
Hangzhou, the capital of Zhejiang province, is the latest city to publicly announce the loosening of restrictions on homebuyers, following in the footsteps of more than two dozen cities.
"The relaxation means policy tightening has reached an end, but the market is not likely to bottom out until the second quarter of next year," said Zhou Chen, a deputy head of the Hangzhou branch at consultancy Century 21st China Real Estate.
Stock investors responded positively to the news despite concerns that developers will post disappointing results when the interim report season begins.
The property index closed 1.36 per cent higher in Shanghai yesterday. In Hong Kong, the sector rose 2.45 per cent.
Hangzhou led the market downturn when developers first cut prices in February, with the sour mood soon spreading across the nation.