More than 30 second- and third-tier cities in China are expected to implement home purchase restrictions by end-August, according to a report by the China Securities Journal.
“Reports on home prices in (second- and third-tier) cities have been submitted to the ministry of housing and urban-rural development,” said the report. “New curbs are on the cards.”
The cities that will face tightening property measures include Zhongshan, Yantai, Qinhuangdao, Luoyang, Huizhou, Guilin and Dandong.
China’s housing authorities earlier outlined five standards to be used as guidelines for the property measures. These include heavy property transaction volumes in the first half, steep price increases in July from June and the sharpest price increases among the ministry’s list of 70 second- and third-tier urban centres.
The government will implement home buying restrictions to any city that meets two or more of these criteria, said the report.
It also noted that first-half home purchase volumes in second- and third-tier cities, including Beihai, Jining, Qinhuangdao, Weifang and Xuzhou, climbed over 20 percent year-on-year.
The upcoming measures will also likely extend to other cities where home prices are not monitored.
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