China has lifted a long-standing restriction on Monday that barred foreign companies from purchasing residential properties for non-self-use, as part of the efforts to boost foreign investment and stabilize the country’s beleaguered real estate sector. Last week Shanghai also lifted hukou-related restrictions on some home purchases after Beijing had previously done the same.
Although promising signs of opening up access to China’s property market, it does feel like it signals a little desperation. People are not buying and although restrictions are being lifted there is only really evidence of some stabilization in major cities, particularly Shanghai.