Shanghai Municipality, Several Opinions on Further Strengthening the Macroeconomic Control of the Municipal Real Property Market and Accelerating the Housing Welfare Work

上海市关于进一步加强本市房地产市场调控加快推进住房保障工作的若干意见

November 09, 2010 | BY

clpstaff &clp articles &

Shanghai restricts purchase of residential premises to only one more unit.

Clp Reference: 4100/10.10.07 Promulgated: 2010-10-07

Issued: October 7 2010

Main contents: Commercial banks shall cease to grant residential mortgages to resident families that intend to use the loan to purchase the third or more unit(s) of residential premises (Article 2). Resident families in Shanghai and from other provinces and cities (including couples and minor children) may purchase only one more unit of commodity residential premises (including second-hand premises) (Article 4).

Where the average sales price of housing development projects is lower than the average price of newly-constructed commodity residential premises of the previous year of the area where such housing development projects are located (areas shall be divided into the areas within and beyond the outer ring), the advance rate for land value-added tax shall be 2%. Where the average sales price of the projects is higher than the average price of newly-constructed premises of the previous year but the difference is less than a double, the advance tax rate shall be 3.5%. Where the price difference is more than a double, the advance tax rate shall be 5%.

To increase the supply of ordinary commodity residential premises, the time limit for trading the premises allocated to relocated residential families (auxiliary commodity premises) on the market shall be reduced from five years to three years after receipt of property title certificate (Article 7).

Related legislation: Circular on Issues Relevant to Improving the Differential Credit Policies on Residential Premises, Sep 29 2010, CLP 2010 No.9 p.46

clp reference:4100/10.10.07/SHpromulgated:2010-10-07

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