Hainan Province has moved to cut down-payment ratio for first-time homebuyers, the latest region in the country to ease mortgage policies to boost slumping home sales.
Minimum down payment for first homes was cut to 20% from 25%, according to a Monday report by Hainan Daily. The ratio for second homes remains unchanged at 30%, the outlet reported, citing a government notice without saying when the measure would go into effect.
The move comes after Chinese authorities in December relaxed homebuying curbs in Beijing and Shanghai, extending efforts seen in other cities to stem the housing downturn. Home sales in the two mega cities surged that month after they reduced down-payment ratios and eased the threshold for some types of housing to be qualified for lower mortgages.
Hainan, China’s southernmost province with a 10 million population, eased ratio for first homes from 30% to 25% in October.
Related article: Looking to rent an apartment? Then check out our property section here!
