More Chinese cities lift home-buying curbs to revive demand; Jinan and Qingdao allow homes in all areas to be put on the market
- Jinan and Qingdao, two of the largest cities in China’s second-most populous province of Shandong, said homes in all areas are allowed to be put on the market
- Several Chinese cities have dropped restrictions to attract buyers and revive a largely frozen property market
Two major cities in eastern China lifted all curbs on home purchases and selling on Monday, joining several other cities in dropping restrictions to attract buyers and revive a largely frozen property market.
Jinan and Qingdao, two of the largest cities in China’s second-most populous province of Shandong, said homes in all areas are allowed to be put on the market, according to a government statement and a local media report.
Qingdao previously limited the number of homes that could be bought in two districts. Jinan had similar measures.
Last week, three cities – Nanjing in eastern Jiangsu province and Dalian and Shenyang in northeastern Liaoning province – became the first cities to eliminate curbs on home buying.
Jiaxing city, in the eastern province of Zhejiang, also announced it would lift all curbs in the city in late August, according to a local media report. It previously limited the number of homes non-local residents could buy in the city.
The moves were part of broader support measures for the sluggish property market, which accounts for a quarter of China’s economy. The measures include cuts in interest rates on existing mortgages.
China property support spurs buying but sceptics warn of weak demand
China’s property sector has been in a tailspin since 2021 when the government issued strict rules to stop indebted developers from accumulating even more debt.
A sector-wide liquidity crunch followed, slowing down the completion of projects, weighing on homebuyer sentiment and depressing prices. (Reporting by Albee Zhang and Ryan Woo: Editing by Neil Fullick and Emelia Sithole-Matarise)
