China takes aim at real estate crisis with new measures to boost economy

Fri September 1, 2023

According to a joint statement by the People’s Bank of China (PBOC) and the National Administration of Financial Regulation (NAFR) released Thursday, minimum down payments for mortgages will be cut to 20% for first-time buyers 30% for second-time buyers nationwide.

The new measures could help 40 million home buyers and impact 25 trillion yuan ($3.5 trillion) in mortgages, or about two thirds of the country’s housing loans

“The Chinese economy is showing more signs of stabilization rather than further deterioration,” Larry Hu, chief economist for Greater China at Macquarie Group, wrote in a Thursday research note.

Source: CNN Business