Another city has fully abolished its housing purchase restrictions.
On October 16th, Tianjin city issued new real estate policies, officially announcing the complete cancellation of purchase restrictions. At the same time, Tianjin's new policy also declared that it will no longer guide the upper limit of sales prices for newly built commercial housing, cancel the standards for ordinary and non-ordinary housing in the city, and no longer distinguish between first and second homes, with the minimum down payment unified at 15%.
Reporters have noticed that in recent years, many places have successively canceled housing purchase restrictions. After Tianjin's complete cancellation of purchase restrictions, only Beijing, Shanghai, Shenzhen, and some cities in Hainan still implement housing purchase restrictions in China. Many interviewed people believe that the cancellation of housing purchase restrictions in many places, including Tianjin, is conducive to stabilizing market expectations, promoting the real estate market to stop falling and stabilize, and it is expected that subsequent supporting policies will further be released.
Complete cancellation of purchase restrictions
Tianjin's new real estate policy this time was released by the local government information release platform, with the content being "Several Measures to Further Optimize Real Estate Policies to Better Meet the Reasonable Housing Needs of Residents."
The corresponding policy clearly states that restrictive measures on the purchase and transfer of newly built commercial housing and second-hand housing in the local area are canceled. With the release of the corresponding policy, the six urban districts of Tianjin city that still implemented purchase restrictions before also lifted the restrictions.
The person in charge of Tianjin's Housing and Urban-Rural Development Commission explained that after the cancellation of the purchase restriction this time, residents with local household registration and non-local household registration in the city can buy houses (including newly built commercial housing and second-hand housing) throughout the city. Non-local household registration residents do not need to provide证明材料such as tax or social security certificates and other home purchase qualification证明材料.
It is worth noting that before the complete cancellation of housing purchase restrictions this time, Tianjin city has relaxed local housing purchase restrictions many times. In September last year, the housing purchase restriction area of Tianjin city was adjusted to the six urban districts. At the end of April this year, Tianjin clearly stated that residents with local household registration in the city buying a single set of newly built commercial housing of more than 120 square meters in the six urban districts no longer need to verify home purchase qualifications; at the same time, it clearly stated that residents with household registration in Beijing and Hebei, and employees working in Beijing and Hebei who buy houses in Tianjin enjoy the home purchase policy of residents with local household registration in the city.
In addition to the complete cancellation of purchase restrictions, Tianjin's new policy this time also clearly states the need to cancel the standards for ordinary and non-ordinary housing. Before, Tianjin's standard for ordinary housing was a residential area with a plot ratio of more than 1.0, and the single set of housing construction area is 144 square meters and below.
The person in charge of Tianjin's Housing and Urban-Rural Development Commission stated that after the cancellation of this standard, there will be no distinction between ordinary and non-ordinary housing in various links such as commercial housing development and construction, and transactions, which will help reduce development costs and reduce the burden of home purchase for resident families.In addition, the new policy in Tianjin this time also clearly states that commercial personal housing loans will no longer distinguish between first and second homes, with the minimum down payment ratio unified to no less than 15%; it will legally increase the loan allocation for real estate "white list" projects, actively meet the reasonable financing needs of real estate projects; scientifically control the increase, and promote the balance of supply and demand in the real estate market, etc.
In terms of loan policies, homebuyers will also enjoy more flexible and convenient preferential policies after the new policy in Tianjin this time.
"Residents who buy houses in the city only check the number of houses they have in this administrative area and handle loan procedures accordingly." The person in charge of the Housing and Urban-Rural Development Commission of Tianjin explained that after the abolition of the housing purchase restriction policy, residents will be identified by the administrative area when handling home purchase loans. For example, if a homebuyer holds 1 house in Hexi District and 1 in Jinnan District, and plans to buy 1 house in Hedong District, only the number of houses in Hedong District will be checked at this time. If there is no house in Hedong District, they will enjoy the loan policy for the first house when buying this house.
Price limit cancellation
In addition to fully canceling the purchase restriction, the new policy in Tianjin this time also clearly states that it will no longer guide the upper limit of the sales price of new commercial housing.
In fact, since the beginning of this year, many places have canceled restrictive policies such as new house or land price limits. According to incomplete statistics from the China Index Academy, more than 10 cities including Zhengzhou and Shenyang have canceled the price limit for new houses this year; Hangzhou, Quanzhou and other places have canceled the price limit requirement for newly transferred land; Shaoyang, Fuzhou and other places have set no lower limit for the purchase of houses by specific groups or group purchase of houses, indirectly relaxing the price limit.
"The continuous adjustment of price limit policies is conducive to developers making more flexible price adjustments to accelerate the return of funds, and at the same time, it is conducive to higher premiums for higher-quality projects to meet the needs of different projects." Niu Xiaohui, a senior analyst at the Tianjin branch of the China Index Academy, believes that recently, major cities in China have successively canceled residential purchase restriction policies. Tianjin's move to cancel residential purchase restrictions conforms to the current macro trend of real estate market regulation and is expected to have a positive impact on market supply and demand, transaction activity, market expectations, etc.
"In recent years, against the background of deep adjustment in the real estate market, the demand structure of Tianjin's residential market has shown a trend of gathering towards the core area. The proportion of transaction area of new commercial housing in the six urban areas has expanded for four consecutive years." Niu Xiaohui said that under this background, the cancellation of purchase restrictions and the reduction of down payment ratio in the six urban areas will effectively stimulate the potential demand of out-of-town homebuyers and local improvement homebuyers, thereby injecting new vitality into the market and enhancing the liquidity and activity of the market.
In fact, after Tianjin canceled the housing purchase restriction this time, there are few cities in China that are still implementing housing purchase restriction policies, only Beijing, Shanghai, Shenzhen and some cities in Hainan.
"At present, cities such as Beijing, Shanghai and Shenzhen still have some subtle purchase restriction measures, but on the whole, Tianjin's comprehensive exit from purchase restriction this time means that the purchase restriction policy since 2010 has entered the stage of exiting the historical stage." Yan Yuejin, the deputy dean of the Shanghai Yiju Real Estate Research Institute, believes that the new policy in Tianjin further indicates that real estate policies in various places will continue to exert efforts in the fourth quarter of this year, and continue to help the real estate market stop falling and stabilize.
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