From Bloomberg News (link)
China’s government raised the minimum down payment for larger apartments to 30 percent and more than doubled the period during which a sales tax will apply, stepping up efforts to cool surging property prices.
The down-payment ratio for apartments measuring more than 90 square meters (969 square feet) will be raised from 20 percent effective June 1, the State Council, or cabinet, said in a statement on the government’s Web site today. Investors will be required to pay a 5.5 percent tax on the sale value of the property if they sell within five years, increased from two.
The State Council said on May 18 that it will adjust loan, tax and land policies to rein in prices that jumped 15 percent in the first quarter in Beijing alone. The government is seeking to curb speculation without prompting a collapse that could cause a sudden slowdown the world’s fastest-growing major economy.
Also see “China issues new rules on real estate” from MarketWatch (link)
And “China moves to curb housing price hikes” from AP (link)
See here for the whole new rule (Chinese)
