The move means all four so-called tier-1 cities have now followed through with easing after the central government unveiled a package to unleash 300 billion yuan ($56.04 billion) of funding to buy unsold homes. Shanghai, Shenzhen and Guangzhou slashed downpayment requirements and allowed room for cheaper home loans last month in a bid to revive demand.
China’s capital city of Beijing eased homebuying requirements for downpayment and mortgages, joining the country’s other mega cities to support the real estate sector.
Beijing reduced downpayment requirements by 10 percentage points to a minimum of 20% for first-time buyers, the capital city said in a statement Wednesday. For second homes, the threshold is lowered to a minimum of 35% for urban areas and a minimum of 30% elsewhere. The city also lowered floor on mortgage rates.
