On Aug. 28 several Chinese ministries unveiled a property reform package
covering pre‑sale rules, personal and corporate credit, funds supervision and
land‑supply rules. Zhao Xiuchi, head of the Jing‑Jin‑Ji Real Estate Research
Institute at Capital University of Economics and Business, said extending
mortgage tenors is a double‑edged sword and a 40‑year mortgage is not
automatically cost‑effective; cash‑constrained buyers can opt for longer tenors
now and prepay when incomes recover. The measures lower entry thresholds and
should accelerate purchases by some first‑time and upgrade buyers; Zhao said the
housing market is currently in a bottom area and policy timing is favorable for
buyers who prefer ownership to renting.
