People's Bank of China and China Banking Regulatory Commission, Circular on Strengthening the Credit Management for Commercial Real Property
中国人民银行、中国银行业监督管理委员会关于加强商业性房地产信贷管理的通知
Mortgage rate for purchase of a second set of residential premises raised.
Date:
November 2007
CLP Reference: 3520/07.09.27
Promulgated: 27 September 2007
Keywords (click to search): [PBOC] [CBRC] [real estate] [real property] [mortgage rates] [mortgage loan] [planning permit] [construction permit] [security]
Mortgage rate for purchase of a second set of residential premises raised.
Issued: September 27 2007
Main Contents: Commercial banks may not grant loans to real property projects in which the ratio of the project capital (owner¡¦s equity) is less than 35% or for which the leasehold certificate, planning permit for land used for construction, planning permit for construction project or construction permit has not yet been obtained, or to real property developers that have stocked up land and sources for housing. Commercial banks may not accept commodity premises that have been vacant for three years or more as a collateral for loans. In principle, loans granted to real property developers may only be used for projects in the same region (Article 1). Commercial banks may not grant loans that are specifically used for payment of land grant fees to real property developers (Article 2).
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