|
Shanghai Allows Sliding Interest on First Home Loans
Shanghai will introduce a flexible system of interest rates on mortgages for first home buyers, linked to down payment amounts, qq.com reported November 17. China Construction Bank's (601939.SH, 0939.HK) Shanghai Branch has already started linking mortgage rates to down payments, with customers who pay 40% of the mortgage initially incurring an interest rate at 70% of the national base rate, while those who put down 20-25% will be charged interest at 85% of the base rate, the report said. Insiders believe the policy will curb the growth of mortgages taken out for investment purposes, according to the report.
|
