Tongling offers tax break to first-home buyers

May 07, 2014 07:56
Several smaller cities in China are relaxing limits on housing purchases to help revive their property markets. Photo: Bloomberg

Tongling in Anhui province is following in the footsteps of Nanning and Wuxi by loosening property curbs to revive dwindling buyer interest in the housing market, Shanghai Daily reported Wednesday. 

The municipal authorities said Monday that first-home buyers of properties up to 144 square meters and who bought between May 1 and December 31, 2014 would be eligible for a subsidy of 1 percent of the total home price, the report said.

Down-payment requirements will also be cut to 20 percent from 30 percent if the buyer is applying for the first time for a mortgage from the city’s provident fund management center.

Huang Hetao, from Century 21 China Real Estate, was quoted as saying that more lower-tier cities could follow suit but similar moves were unlikely in bigger cities such as Shanghai.

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