Property sales tick up on rumors of loosened restrictions

Property sales in a handful of large Chinese cities have increased on rumors that regulators are planning to ease real estate purchasing restrictions to support the slowing economy, Reuters reported. The official Shanghai Securities News reported that property sales ticked up in the cities of Hangzhou, Nanjing and Shenzhen. If true, the upswing could indicate bargain hunters are looking to snap up properties in anticipation of a rebound after the restrictions are eased. Reports earlier this week suggested that the central bank had secretly issued new guidelines to allow commercial banks to offer discounts on loans of up to 30% to first-time homebuyers; another report quoted an unnamed source from the National Development and Reform Commission, China’s economic planner, as saying looser real estate restrictions were “second card to save the market.” The NDRC has denied the reports.