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Chengdu becomes latest major Chinese city to unveil housing market support measures, scraps home purchase qualifications

  • The measures effective from Monday range from the removal of restrictions on homebuyers to support for the funding needs of developers
  • The city might also be ready to scrap a cap on new home prices

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Chengdu joins other top-tier cities including Beijing and Shanghai, which eased curbs on their property market earlier through steps such as cuts in mortgage rates and by lowering the bar for home purchases. Photo: Shutterstock Images
Zhang Shidongin Shanghai
The city of Chengdu in southwest China has unveiled a package of measures to bolster its property market.
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These measures range from the removal of restrictions on homebuyers to support for the funding needs of developers, underscoring the fact that stabilising the housing market remains the city’s top priority this year.

The city will no longer review the qualifications for home purchases and it has also pledged to meet developers’ reasonable funding demands, the Chengdu Municipal Housing and Urban-Rural Development Bureau said on Sunday.
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Chendu, the capital of Sichuan province, also plans to reduce land supply in areas where the supply of residential and commercial properties exceeds demand, while also encouraging market players to convert spare and idle non-residential housing into low-rent homes, it said. These changes well be effective Monday.

The city, which has a population of 21 million and is viewed as second-tier, is the latest to roll out stimulus measures to buttress the property market at a local-government level. While home sales in the city increased by almost 10 per cent last year to buck a nationwide slump, it got off to a low start in 2024, with sales falling 35 per cent month-on-month in January due to weak demand.

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