SOHO China: Property curbs to end in 6 months

Commercial property developer SOHO China will be actively making acquisitions while credit remains tight as it expects the government to loosen its property purchasing restrictions within the next six months, Reuters reported quoting the company’s chief executive on Wednesday. Zhang Xin said real estate prices would “shoot through the roof” once authorities remove the current property restrictions, which in some cities restrict mortgages and ban those who already own homes from purchasing another. The government has also closed almost all fundraising channels for domestic developers, including bank loans, trust funds and stock market listings, leaving many smaller developers scrambling for cash or even declaring bankruptcy. “My personal view is that [credit] is so tight that soon the government has to ease, otherwise the whole private sector will be affected,” said Zhang.