Date
21 September 2017
Hohhot is scrapping limits on property purchases to breathe life into flatlining housing prices.  Photo: nipic.com
Hohhot is scrapping limits on property purchases to breathe life into flatlining housing prices. Photo: nipic.com

Hohhot scraps curbs on property purchases

Inner Mongolia’s capital Hohhot will officially scrap its property purchase limits in hopes of giving the city’s sluggish real estate market a lift, Xinhua reported Wednesday.

The move follows similar announcements this year by other cities including Nanning in Guangxi province and Wuxi in Jiangsu province.

In a statement dated June 13, the municipal government said the registration system for commercial housing sales will be removed and market forces will play a “dominant role” in allocating resources.

Residents buying homes on the open market will no longer need to provide property ownership records and officials will not check records for previous transactions, the circular said.

Residents without a hukou will also be allowed to buy homes to encourage long-term unregistered residents settle in the city, it said.

Homebuyers will only need to pay a 30 percent down payment for homes on the commercial market, and they will be allowed to borrow up to 500,000 yuan (US$81,200) from a housing fund for 30 years.

Prices of new homes have flatlined in Hohhot for three straight months since March, according to official data.

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Freelance journalist

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