PBOC Tightens Home Lending Rules in Beijing to Rein in Risk
- Central bank’s Beijing branch cautions on speculative risk
- Couples divorced within a year considered second-home buyers
Breaking Down China's Property Market
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China’s central bank asked banks in Beijing to scrutinize home loans to newly divorced couples and funding sources for borrowers, adding to other restrictions this month to rein in soaring property prices.
Beijing home buyers divorced for less than a year will be considered second-home buyers when they apply for mortgage loans, the Beijing branch of the People’s Bank of China said in a statement Friday. Banks are also banned from providing mortgage loans to buyers using leveraged financial products for down payment.