Rules are tightened for house purchase
By Hu Yuanyuan | China Daily | Updated: 2010-04-16 08:17
BEIJING - The central government has raised the required downpayment for a family purchasing a second house from the existing 40 percent to 50 percent, as the latest measure to curb soaring property prices and prevent growing financial risks.
The decision was made during a State Council executive meeting presided over by Premier Wen Jiabao on Wednesday evening, showing the government's resolve to cool the sizzling real estate market.
Property prices in 70 of China's large and medium-sized cities rose 11.7 percent on a yearly basis in March, data from the National Bureau of Statistics (NBS) shows. It was the biggest year-on-year increase for a single month after the NBS expanded its coverage to 70 cities in July 2005.
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