Hangzhou- The minimum down payment ratio for commercial personal housing loans is unified to 15%

On October 9, the Hangzhou Urban-Rural Construction Management High-Quality Promotion Leading Group Office released a notice aimed at further optimizing and adjusting the city’s real estate policies. According to this new directive, for families purchasing homes through loans, commercial individual housing loans will no longer distinguish between first and second homes, with a minimum down payment requirement set uniformly at 15%.

Additionally, the notice introduces favorable changes to the housing provident fund loan policies. For households applying for housing provident fund loans, the maximum loan amount has increased to 1.3 million yuan, with a guaranteed minimum amount of 200,000 yuan. Buyers of newly constructed homes that are certified as green and low-carbon, or those engaging in trade-ins, may see their loan amounts increase by 20%. The down payment requirement for both first and second homes will now be at least 20%. Importantly, families that have fully repaid a previous housing provident fund loan may qualify as first-time homebuyers for subsequent loans.

Furthermore, the new policy eliminates the price control measures on newly assigned land. From the date of publication, new residential land will no longer have price limits for newly built commercial housing, with previously allocated land continuing under the original contract terms.

The notice also emphasizes the need for tailored strategies to enhance support for homebuyers. Local districts and counties are encouraged to expedite the rollout of purchasing subsidies and housing vouchers to promote property exchanges and increase support, catering to both essential and improved housing needs.

Lastly, the notice stresses the importance of strengthening coordination in real estate financing. It aims to expand and enhance the effectiveness of the financing coordination ‘white list’ and increase the loan disbursements for projects included in this list.

These new measures took effect immediately upon the notice’s release, and any existing policies that contradict this notice will be superseded by its terms.