HSBC’s Guangzhou branch said residential mortgage rates can be offered as low as
2.7%. Most Chinese cities have removed an explicit lower bound on housing loan
rates but rates generally remain above 3%; Guangzhou banks briefly cut rates
below 3% then reverted to ~3%. Yan Yuejin, deputy director at Shanghai E-House
Real Estate Research Institute, said broad mortgage-rate cuts are unlikely, 3%
is effectively the floor, and the 2.7% pricing will be limited to selected
customers, resembling a targeted "price war".
