Home price curbs expected to spread

%3CP%20align%3Dcenter%3E%3CIMG%20border%3D0%20src%3D%22/new_maoyi_en/cn/admin/news/NewsFile/-1/201610810225300.jpg%22%20width%3D500%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EProspective%20buyers%20attend%20a%20real%20estate%20trade%20fair%20in%20Chengdu%2C%20capital%20of%20Sichuan%20province%2C%20on%20Oct%203.%20People%20will%20only%20be%20allowed%20to%20purchase%20one%20property%20in%20certain%20areas%20of%20the%20city%2C%20while%20those%20buying%20a%20second%20property%20will%20need%20to%20make%20a%20down%20payment%20of%20no%20less%20than%2040%20percent%20of%20the%20purchase%20price%2C%20the%20local%20government%20says.%20%28Photo/China%20Daily%29%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EMore%20cities%20may%20follow%20suit%20after%2019%2C%20including%20Beijing%2C%20launched%20cooling%20measures%20in%20the%20past%20week%20to%20rein%20in%20housing%20price%20increases%2C%20said%20analysts.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EThe%20measures%20announced%20by%20the%20cities%20during%20the%20seven-day%20National%20Day%20holiday%20included%20higher%20mortgage%20down%20payments%20and%20home%20purchase%20restrictions%20to%20curb%20speculation.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EHowever%2C%20%22more%20lower-tier%20cities%20may%20join%20the%20move%20against%20speculative%20home%20purchase%20soon%2C%20particularly%20those%20that%20have%20low%20inventory%20for%20the%20next%20six%20months%20and%20fast%20price%20growth%20in%20the%20past%20six%20months%2C%22%20said%20a%20research%20note%20by%20CITIC%20Securities.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EWu%20Huimin%2C%20an%20analyst%20with%20property%20services%20provider%20DTZ%2C%20said%2C%20%22Cities%20such%20as%20Shijiazhuang%20and%20Qingdao%20with%20rapid%20inflow%20of%20population%20are%20very%20likely%20to%20introduce%20tightening%20policies%20against%20speculative%20buying.%22%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EWu%20said%20authorities%20will%20use%20a%20combination%20of%20measures%20to%20curb%20investment%20buying%20and%20make%20precise%20differentiation%20between%20self-use%20and%20speculative%20purchases.%20These%20are%20likely%20to%20include%20detailed%20requirements%20for%20average%20living%20space%20per%20person%20in%20a%20household%20and%20qualification%20of%20buyers%2C%20Wu%20said.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EXu%20Jing%2C%20an%20analyst%20with%20Shanghai%20Yudi%20Property%2C%20attributed%20the%20speculative%20purchases%20in%20key%20cities%20to%20easy%20financing%2C%20short%20supplies%2C%20huge%20demand%20and%20a%20lack%20of%20other%20investment%20channels%20that%20might%20bring%20stable%20returns.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EIf%20the%20supply%20and%20demand%20situation%20cannot%20be%20changed%20in%20the%20short%20term%2C%20a%20higher%20financing%20threshold%20can%20be%20a%20quick%20fix%20to%20curb%20quickly%20rising%20home%20prices%2C%20he%20said.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22Without%20financing%20curbs%2C%20speculative%20buyers%20can%20still%20afford%20to%20buy%2C%22%20said%20Xu.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3ENanjing%20in%20Jiangsu%20province%2C%20Xiamen%20in%20Fujian%20province%20and%20Wuhan%20in%20Hubei%20province%2C%20which%20have%20all%20taken%20cooling%20measures%2C%20saw%20average%20housing%20prices%20rise%20more%20than%2020%20percent%20in%20September%20year-on-year%2C%20according%20to%20data%20of%20the%20China%20Index%20Academy%2C%20a%20research%20organization%20that%20monitors%20housing%20prices%20in%20100%20cities.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EZhou%20Zihui%2C%20a%2042-year-old%20homebuyer%20in%20Nanjing%2C%20has%20bought%20and%20sold%20six%20apartments%20in%20the%20past%20five%20years%2C%20yielding%20about%204%20million%20yuan%20%28%24599%2C380%29%20for%20her.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EBut%20she%20said%20that%20with%20the%20new%20policy%20in%20place%2C%20she%20is%20no%20longer%20qualified%20to%20buy%20another%20apartment%20or%20able%20to%20pay%20the%20down%20payment.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EZhang%20Dawei%2C%20an%20analyst%20with%20Centaline%20Property%2C%20said%20the%20cooling%20measures%20have%20proved%20effective.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EDuring%20the%20weeklong%20holiday%2C%20year-on-year%20transaction%20volume%20in%20first-%20and%20second-tier%20cities%20dropped%20by%20more%20than%2030%20percent%2C%20Centaline%20data%20indicated.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%3CBR%3E%28Ecns.cn%29%3CBR%3E%3C/FONT%3E%3C/P%3E