East China Southern China Or Become A New Round Of Key Purchase Areas

A real estate Authority close to the Ministry of housing has revealed to our reporter that the list of new restriction cities is being worked out and is expected to be announced in two months.

As for the specific cities limited to purchase, the source said that the first tier cities that had risen too rapidly before the housing price were the core of the investment boom.

We will take into account factors such as house price increase and so on.

According to China real estate index system 100 city price index survey data, up to now, no restriction measures have been issued, but the top 10 cities with higher housing prices are: Zhuhai, Taizhou, Kunshan, Zhangjiagang, Huzhou, Jiaxing, Wujiang, Changshu, Jiangyin and Yangzhou.

According to the housing price index of 70 large and medium-sized cities released by the National Bureau of statistics, the top 10 cities with higher housing prices this year are: Yueyang, Dandong, Qinhuangdao, Mudanjiang, Xiangfan, Luoyang, Jilin, Guilin, Shaoguan and Changde.

Experts said that considering the factors of housing price increase and investment sources, Kunshan, Jiaxing, Changshu, Yangzhou, Zhuhai and other cities were most likely to be included in the new list of restricted cities.

In fact, as early as May, the news of expanding the scope of purchase had begun to spread in the market.

This year, a new round of macroeconomic regulation and control mainly focused on tightening credit and limiting purchases has played a significant cooling role in the continued overheated real estate investment and speculation since the second half of last year.

However, with the stabilization of the property market in the first tier cities, investors began to pour in.

The executive meeting of the State Council, which was held in July 12th, requires that the cities that have implemented the restriction measures should be strictly enforced, and the two or three line cities with too high price rises must take the necessary restriction.

Small and medium cities real estate trading center system needs to be improved

With the expansion of the scope of restriction cities, some small and medium-sized cities which rely solely on real estate investment and tax to stimulate real estate revenue may face new challenges of income and expenditure.

Yin Xiangwu, an expert in Shenzhen Real Estate Association, said that at present, some local governments in China rely more than 50% on land finance.

It mainly includes various taxes and land pfer fees involved in the real estate industry.

The higher the proportion of real estate investment to fixed assets investment, the stronger the dependence of local finance on real estate.

Once the small and medium-sized cities in the implementation of the limited purchase order after a substantial shrinkage of the property market, the impact of local finance will be greatly higher than the first tier cities.

In fact, the impact of land tighten on the first tier cities is often smaller than that of small and medium-sized cities, especially those small and medium-sized cities whose second industries are not strong enough to rely solely on real estate income.

For example, Shenzhen's real estate development investment accounted for 25% of fixed assets investment in 2010, and its contribution rate to GDP was 4.82%.

That is to say, GDP has 4.82 yuan per 100 yuan.

In fact, because of its proximity to Shanghai, Kunshan has become the preferred choice for Shanghai property market investors since 2009.

Since July, the Kunshan property market has experienced two consecutive weeks of volume rises in the event of the possibility of being restricted.

Among them, in from July 8th to 15th, Kunshan property market clinch a deal 580 sets, annulus comparing rises 17.89%; in from July 15th to 22nd, Kunshan property market clinch a deal 656 sets, annulus comparing rises 13.10%.

So far, Kunshan property market average daily sales of up to 94 sets, compared with the same period last year, the growth rate of 91.7%.

However, some experts have suggested that some small and medium-sized cities may face some difficulties in implementing the restriction.

"Because the real estate trading center system is not perfect, small and medium-sized cities are likely to be unable to accurately check the purchase records of buyers in the past."

Fu Qi, an analyst with China real estate information group, said.

According to introducing, Shanghai began to set up the real estate registration and filing electronic system in 2004. It is the first city in China to establish this database. Up to now, all localities have set up the property ownership record system, but the degree of perfection is different.

"If the city is built late or incompletely recorded, it will be impossible to find the purchase records in the local real estate trading center. The implementation of the purchase restriction may be faced with the problem of no evidence to follow."

Fu Qi said.