Housing restriction loosened more than half of the city continued crumbling | restriction _ 3-year restriction order news

China News Agency, Beijing, July 27 (Xinhua Pang Mowgli) "purchase" the property market with strong administration control means, gradually loose in China in the near future.

Haikou, Nanchang, Xian, Wuxi, Suzhou, ... ... Loose under the restriction of cities severely hit by the rapid increase in China persists for more than 3 years of crumbling restrictions.

Property, according to the market research Department of statistics, there are now more than 20 cities in terms of restriction of varying degrees of looseness, accounted for around half of the earlier purchase of city. In many places, purchase order exists in name only.

Worth noting is that the restriction of loose in the city, only a few cities such as Hohhot, Nanning, Haikou Express Publishing limited policy adjustment file, most of the rest of the city is "say nothing" or "verbal" approach.

A case study of Wuxi, in the rumored purchase cancelled months later, local officials have confirmed to the media in the near future, Wuxi city from July 26 to adjust the restrictions in the city: to cancel more than 90 square meters (90 square meters) of housing restrictions. This policy piecemeal, Suzhou and restriction of the same.

Restrictions originate in 2010. In April of that year, ten was launched, in order to curb the fast-rising housing prices, some cities have enacted provisions limiting family homes. After several rounds of expansion after implementing the "restriction order" prefecture-level cities to nearly 50.

This policy is considered to be discouraging the demand for investment and speculative buying of the weapon, but because of its strong administrative colours, constantly caused disputes in the implementation process. Some scholars even assert that restriction policy through administrative means, such as stuffing the property market needs, resulting in imbalances between supply and demand, market distortions, also tend to lead after one round of cooling in the property market, rebounded sharply as housing prices "as adjustable as possible going up" factor.

This year, the property market suddenly "winter", many cities real estate market deals shrunk, inventory backlogs. Section relies heavily on the land of local government finances, quietly began to loosen policies in an attempt to "rescue", easing or lifting a restriction of which is one of the most commonly used method.

Though some cities are already showing up after the restriction of loosing the property market buoyant, but industry experts for restriction of free utility is not very promising.

Centaline's Chief Analyst Zhang Dawei pointed out that this market turns cold is more due to the accumulation of risk factors lead to the market itself, includes part of the city the early supply too much, prices from rising too fast, and so on. In addition, volume was concentrated in the early release of demands of stock, growing fine tuning or difficult to boost market turnover.

In addition, the need to be aware of is that most restrictions restriction of urban population increase slows, inventories, "Alexander pressures" and other features, the relaxing slow or difficult to adopt policies to boost demand.

In view of the hot and cold differentiation further accentuated in recent years in China's property market, enforcement of restrictions in different cities may also occur between divisions. Some two or three lines of high inventories may abolish the city purchase, high house prices in first-tier cities like Beijing and Shanghai from the loosening of restrictions remains at arm's length. (End)

(Original title: economic observer: cities housing restriction loosened half a restriction order "shaky")

(Edit: SN123)
July 27, 2014, at 16:02 China News Network