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China bans presale mortgages, requires post-completion financing

8/28/2026

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Story summary
  • China’s central bank and the National Financial Regulatory Administration issued rules ending presale financing for homebuyers.
  • The new guidelines require mortgages only after housing projects are completed.
  • Maximum personal mortgage terms were extended from 30 to 40 years.
  • Each project’s financing must be linked to a lead bank that monitors funds and provides loans.
  • Analyst Zhang Zhiwei said the policies are stronger than market expectations.