Big shifts are in the offing for China’s housing market and the authorities need to act to contain market risks, aware that different measures are needed for different markets, the China Securities Journal reported Friday, citing Li Wei, director of the State Council’s Development Research Center. Li told a national policy consultation work meeting Thursday that interest rate marketization will mean higher mortgage rates, which will affect housing affordability for families. At the same time, changes to the real estate tax system will alter housing needs among various demographic groups. Li projected GDP growth this year to be close to last year’s level and consumer prices to rise by no more than 3.5 percent, the report said.
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