Most cities in China have removed the lower limit on mortgage interest rates

After the People's Bank of China abolished the national floor limit on commercial personal housing loan interest rates for the first and second homes on May 17 this year, all cities in China, except Beijing, Shanghai and Shenzhen, have abolished the floor limit on mortgage interest rates.

According to China Central Television News, after the cancellation of the lower limit of mortgage interest rates in Chinese cities, most commercial banks in cities have adjusted mortgage interest rates according to changes in policies and market conditions, and the mortgage execution interest rates have dropped significantly compared to the previous period. It is estimated that after the policy is implemented, the first mortgage interest rate in most cities may drop by about 0.4 percentage points, and the second mortgage interest rate may drop by about 0.6 percentage points.