Home buyers in Beijing could enjoy better deals in future, as several Chinese banks are planning to offer mortgages at higher discount rates.
The majority of the city’s buyers enjoy a 15 percent discount. The People’s Bank of China (PBOC), the central bank, had previously stated that the loan discount rate must not exceed 30 percent.
While banks noted that offering a 30 percent discount could be difficult, they are looking at providing a 20 percent discount to qualified clients.
Meanwhile, the PBOC earlier denied that its “urgent statement” to banks on the 30 percent discount rate for individuals signalled a policy change.
It explained that the statement only emphasised that the maximum discount rate for mortgages should not exceed 30 percent.
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