Guangzhou restricts house purchases

GUANGZHOU — The southern Chinese city of Guangzhou has further restricted housing purchases to cool the property market.

Households with local residence permits may purchase two houses as before while a single adult (including divorced individuals) may only buy one, according to a statement issued by the city government.

Non-resident families may buy one house, if they can provide personal income tax or social security records for at least five years in Guangzhou. Previously, the requirement was only three years.

The city also raised the minimum down payment ratio in some circumstances, not for first-time buyers. Those who have no home in Guangzhou but have housing loan records have to pay more.

The districts of Conghua and Zengcheng are exempt from the new policy.

Purchase restrictions have also been introduced in the northern city of Shijiazhuang, capital of Hebei Province. From Saturday, non-residents must provide records of 12 months of personal income tax and social security payments in the last two years. Non-locals who already have at least one home may not buy another.

Several other cities, including Beijing, Qingdao and Nanjing, have also introduced similar restrictions.