Relevant authorities issued guidance capping individual housing loans at a maximum 40-year term and limiting loan size to no more than the property's appraised value. Bank sources say prepayment rates have not fallen and households remain reluctant to take on new debt, with existing mortgage borrowers accelerating repayments, so uptake of newly permitted 40-year loans is expected to be low.

2026-09-04

Relevant authorities issued guidance capping individual housing loans at a maximum 40-year term and limiting loan size to no more than the property's appraised value. Bank sources say prepayment rates have not fallen and households remain reluctant to take on new debt, with existing mortgage borrowers accelerating repayments, so uptake of newly permitted 40-year loans is expected to be low.