The government of North China's Shanxi Province has abolished all restrictions on purchases of commercial apartments, the Shanxi Daily reported over the weekend.
The province ended restrictions on buyers' registered permanent residence status (hukou), their ages and the number of units they may own, the newspaper said, citing a government statement released Thursday.
The policy also eliminated a rule that required real estate operators to report prices to the authorities before selling existing homes or accepting reservations for units.
Bans on purchases by foreign institutions and individuals were also dropped under the policy change, the newspaper said.
Shanxi thus becomes the fourth province - after Gansu, Sichuan and Anhui - to end all purchasing restrictions, news portal ifeng.com reported on Sunday.
The new policy gives developers greater autonomy to adjust the composition of the units they sell, assuming that they haven't made any changes to conditions such as the function of land use or the plot ratio, according to the statement.
The policy also clarified the housing credit policy in Shanxi. First-time buyers must make a down payment of at least 30 percent, and their mortgage interest rate can't be any lower than 0.7 times the benchmark interest rate.
These mortgage conditions also apply to those wishing to upgrade, assuming they have paid off the first mortgage. Those who are still paying their earlier mortgages have to make a down payment of at least 40 percent for subsequent purchases.
Banks shouldn't charge more than the benchmark interest rate on mortgages for first-time buyers or those who are upgrading, according to the statement.
