Starting today, many banks have lowered the existing home loan interest rates in bulk to LPR-30BP, with some cities restricting the interest rates for second home loans due to policy.

Starting today, various banks will collectively reduce the interest rates on existing home loans. Reporters learned from Agricultural Bank, China Construction Bank, and other banks that as of 7:30 in the morning, customers of many banks including Industrial and Commercial Bank, Agricultural Bank, Bank of China, China Construction Bank Corporation, Bank of Communications, Postal Savings Bank of China, China Zheshang Bank, and others can already check on their mobile banking apps that the adjusted mortgage interest rate is the loan market quoted rate LPR-30BP. Since this is a bulk adjustment by the banks, borrowers do not need to take any action for this mortgage rate reduction. In cities like Beijing, Shanghai, and Shenzhen, due to the existence of a lower limit on policy interest rates, the interest rates for second homes and above can only be adjusted to the local policy rate lower limit level. (CCTV News)

Foshan: Supports the transformation of urban villages, using special loans to purchase existing commercial properties for resettling villagers.

Foshan Housing and Urban-Rural Development Bureau and other six departments issued a notice on further optimizing the stable and healthy development of the real estate market on the 24th. It includes canceling the restriction period for residential families in Chancheng District Zhumiao Street, Guicheng Street in Nanhai District, and Dalang Street in Shunde District to purchase newly built commodity housing for listing transactions. Commodity housing can be listed for trading from the date of obtaining the real estate ownership certificate. Support the transformation project of urban villages to purchase existing commodity housing with special loans for village resettlement. Allow self-owned commodity housing to be traded on the market. Combine the sales cycle of commodity housing, regional population changes, and scientifically plan the layout of incremental high-quality residential land. For families with two or more children purchasing their first self-occupied residence, the maximum loan amount can be increased by 20%; allow employees to apply to convert their personal commercial housing mortgages that have not been fully paid into personal housing provident fund loans.

Bulk adjustments of existing home loan interest rates have been implemented, with clients of second homes in Beijing seeing a decrease of 130 basis points.

Today, the batch adjustment of existing house mortgage interest rates has been implemented. This adjustment includes first-time, second-time, and subsequent house mortgages. Clients with second properties in Peking have informed reporters that their existing house mortgage rates have been reduced from the Loan Prime Rate (LPR) plus 105 basis points to LPR minus 25 basis points, with a reduction of 130 basis points, decreasing from the previous 5% to 3.7%. (Ke Holdings Finance)

Young people in the real estate market are in a 'battle' as subsidies for home purchases expand to include vocational school graduates in many areas.

Previously, home purchase subsidies in many regions were mainly aimed at postgraduates, then expanded to include undergraduates, mid to senior level technical professionals, and later announced that junior college graduates are also eligible for such subsidies. Currently, graduates of vocational schools are gradually becoming eligible for home purchase subsidies in some regions. For example, in Yichang City, Hubei Province, Pingliang City, Gansu Province, and Rongchang District, Chongqing, it was announced that graduates of vocational schools are eligible for home purchase subsidies. Yan Yuejin, Deputy Director of the E-House Research Institute in Shanghai, mentioned that although the individual subsidy amount per person is not large in various regions, the overall subsidy amount is substantial, indicating strong policy support. 'However, sometimes the application process for housing subsidies can be complex. Personally, I suggest directly reducing the deed tax, which is more operational.' (21st Century Business Herald)

Zhengzhou's real estate loan interest rates have been comprehensively lowered to 3%: both first-time and second-time home buyers will follow the LPR-60BP rate.

On October 24th, acting as a home buyer, a reporter consulted several banks and real estate agents in Zhengzhou and learned that with the latest 5-year LPR dropping to 3.6% on October 21st, the new housing loan interest rates in Zhengzhou have basically dropped to 3% (including first-time and second-time home buyers). "Currently, both first-time and second-time home buyers in Zhengzhou have an LPR-60BP housing loan interest rate, which is 3%," said a personal loan manager from the Industrial and Commercial Bank of China. The personal loan manager from Minsheng Bank Zhengzhou Branch stated that with the latest 5-year LPR dropping to 3.6%, their bank's newly issued housing loan interest rate has been adjusted to 3%. From the personal loan managers of Bank of Zhengzhou and ZYBank, reporters learned that the new housing loan interest rates have all been reduced to 3%. (Dahe Financial Cube)

6. Editorial of Beijing News: The pace of adjustment of provident fund loan interest rates may as well be faster.

Are commercial loan interest rates lower than provident fund loan interest rates? With further downward adjustments to the latest Loan Prime Rate (LPR) and the previous interest rate cuts, commercial real estate loan rates have generally seen significant declines nationwide. However, this rapid fluctuation in market rates has brought unexpected issues, especially the increasingly apparent phenomenon of commercial loan rates being lower than housing provident fund loan rates. This "inversion" phenomenon will directly impact the attractiveness of housing provident funds. Over time, the liquidity risk of the housing provident fund pool may be affected, impacting its sustainable development. In this situation, it is necessary to further accelerate the pace of adjustment of the housing provident fund loan interest rates. In the medium to long term, adjusting provident fund rates in line with market trends is the general trend.

In Yinchuan, new land projects are required to implement current property sales on at least 30% of the building area.

The "Measures for Further Promoting the Stable and Healthy Development of the Real Estate Market in Yinchuan" mentions reducing land supply. Adjusting land supply according to the principle of "supply according to demand" and pausing the sale of new residential land in counties (cities) where the turnover period of commodity residences exceeds 36 months. For areas with a turnover period between 18 (excluding) and 36 months, activate as much supply as possible. Innovatively implement phased payment of land transfer fees, allowing companies to pay the full land price within two years after signing the land transfer contract, and develop and build in stages to effectively reduce the supply. For idle land that needs to be reclaimed, it should be recovered in accordance with laws and regulations, and conditionally used for planning and constructing "dual-use" public infrastructure in emergencies. Also, extend the residential supply schedule. Increase policy support for current property sales, specify that new land projects in Yinchuan must implement current property sales on at least 30% of the building area, encourage current property sales for unsold building blocks in developing projects, and extend the housing supply schedule.

Invesco Great Wall Fund's Liu Yanchun: It is expected that China's real estate industry is already at the bottom region, and there is a high probability that the real estate market can achieve a self-stabilizing rebound.

"The real estate industry in China is highly likely to have the conditions for a self-stabilizing rebound." On October 25th, Liu Yanchun, Deputy General Manager of Invesco Great Wall Fund, stated in the third quarterly report. "The adjustment extent of China's real estate has been quite significant, with sales volume dropping by about 50% from peak levels, exceeding the international average decline in real estate crises." Additionally, based on international experience, Liu Yanchun stated that the most drastic period of real estate adjustment is the first 3 years of adjustment, after which it will enter a period of hovering at the bottom. During this phase, the real estate market mostly achieves clearance and debt restructuring, laying the foundation for the next rebound. "Considering the rental yield and the level of urbanization in China, it is expected that China's real estate industry is already in the bottom region, and there is a high probability that the real estate market can achieve a self-stabilizing rebound." (Pengpai)

9. The relevant policies on the integrated development of residential accumulation fund in Chengdu and Panzhihua will continue to be implemented starting from December 1, with new adjustments.

On October 25, the Chengdu Housing Provident Fund Management Committee and the Panzhihua Housing Provident Fund Management Committee jointly issued a notice, announcing that the relevant policies for the integrated development of residential accumulation funds in Chengdu and Panzhihua will continue to be implemented from December 1, with new adjustments. This policy aims to respond to the strategic deployment of the Chengdu-Chongqing Economic Circle by the Party Central Committee and the State Council, meet the housing provident fund service needs of the masses, and promote the integrated development of the Chengdu-Panzhihua region. According to the policy, employees who deposit their housing provident fund in Chengdu and Panzhihua and buy houses in different areas within the two cities can apply for a housing provident fund loan from the deposit center of the deposit location. The criteria for determining the number of housing units, mortgage guarantee methods, etc., will follow the loan management policies of the housing provident fund center of the deposit location, while the mortgage registration of the houses will be handled by the real estate registration institution in the location of the houses. The maximum loan amount shall not exceed the local limit of the location of the houses, and the specific amount will be separately announced by the housing provident fund management committees of the two cities. In addition, if the personal housing loan ratio of the housing provident fund center of the deposit location is higher than 90%, the implementation of this policy may be temporarily suspended.

10. Yantai: Accelerate the pace of pilot sales of existing houses and comprehensively promote the transition and transformation of real estate development projects to current sales.

On October 25, the Yantai Housing and Urban-Rural Development Bureau of Shandong Province recently issued the "Notice on Promoting the Policy Measures to Stabilize the Yantai Real Estate Market." It proposes to accelerate the pace of pilot sales of existing houses. Explore using high-quality popular real estate products as pilots to cultivate a current sales environment with immediate availability; gradually increase the progress requirements of presale for newly constructed residential projects, comprehensively promote the transition and transformation of real estate development projects to current sales.

11. Standard & Poor's predicts that by 2024, the proportion of second-hand house sales will increase from 30% to over 40%.

On October 25, Standard & Poor's pointed out that some structural changes are continuing to reshape the outlook of the Chinese real estate market. The high turnover model is a thing of the past, and projects with good quality, prime locations, and good profit margins are increasingly valued. One of the changes in the market structure is the increase in the proportion of second-hand house sales. It is estimated that by 2024, the proportion of second-hand house sales will increase from around 30% in previous years to over 40%. The willingness of buyers to purchase second-hand houses has increased because they know what they see is what they get in this market. Another change is the decline of the presale model. Due to concerns about project delivery, some provinces and lower-tier cities have begun to restrict presales, tightening the conditions for issuing presale permits. This policy tightening has also spread to higher-tier cities. Investment demand for speculative purchases in lower-tier cities is declining. This is because the restrictions on purchases in first-tier and higher second-tier cities are being gradually relaxed, diverting demand from lower-tier cities. As buyers become more selective, developers are increasingly focusing on higher-tier cities, leading to an increase in the proportion of sales in higher-tier cities and premium locations.