Beijing Second Suite down payment 60% not the speculative investment in housing loans

Mr Liu, the chairman of the CBRC, has asked banks not to lend money to speculative investment as a banker and bank regulator, and we must be vigilant and pay attention to the down payment. We are also more comfortable because the first suite down payment is 30%, the second housing must reach 50%, 60%, which is reassuring to us. ——— Liu Said (reporter Hu Hongwei Yinjie), the chairman of the CBRC 11th in Boao Forum for Asia says, now a lot of hot money into the real estate market, so for a set of rooms, two suites in the down payment, interest rates and other aspects of bargaining must be different.　　First-suite down payment 30%, the second suite to reach 50%, 60% is more comfortable, at present, some of Beijing's banks have decided to two suite down payment ratio increased to 60%. Banks independently raise the down-payment ratio of two suites on whether there will be a bubble burst in China's real estate, Mr Liu said the market would fluctuate, China had 1.3 billion people and the current labour force was more mobile, and the rigid demand for housing was huge. In addition, China is actively promoting the consumption-led economic development, so the market will not change too much. Even so, he says, be aware of the down payment. The CBRC is also more comfortable, because the first suite down payment 30%, the second suite reached 50%, 60%.　　According to its introduction, the Beijing region has banks according to the instructions have been adjusted, such as for the two suites and after the room required 60% down payment.　　In an interview after the meeting, he said that the down payment ratio for the two suite, which was raised to 60% in Beijing, was "determined by the banks ' own risk."　　No speculative investment in home loans The CBRC said yesterday that some commercial banks are cautiously assessing the risks of two or more mortgages, for example, some of the banks in Beijing have taken the initiative to raise the down payment ratio of two to 60%. According to the reporter understands, regarding the second suite policy still follows the previous consistent request, namely has used the loan to purchase the housing, also applies for buys the second set (including) The above housing family (includes the borrower, the spouse and the minor child), the loan down payment ratio is not less than 40%, the loan interest rate　　Not long ago, the CBRC related people also said that the regulatory authorities will not introduce tougher two suite credit policy, the current policy has been more stringent. The CBRC also said banks should be more risk-conscious and not invest in speculative housing loans.　　If it is impossible to judge, it should substantially increase the first payment ratio and interest rate level of loans, and increase the implementation of differentiated credit policies. Three areas to control real estate risk on a large number of new loans induced by China's potential bubble problem, Mr Liu said the real estate industry exposure is relatively large, and from three levels to prevent the real estate industry potential risks. First is the land level, mainly on the local government platform of some land projects.　　The CBRC requires banks to track all land blocks, strictly manage the loan-to-deposit ratio and treat them differently according to the different credit conditions of local governments. On the second level for developers, he said, China has a total of 5Million real estate developers, the CBRC asked all banks to check these real estate companies loans, credit and financial situation. A list-type management of developers ' loans and a ban on developers using land as collateral.　　The bank has the right to refuse the loan requirement for the lender for the purpose of the property speculation. The third is the housing mortgage loan level, as long as the banks do a good job of reviewing the assessment and based on experience, the risk is relatively small.　　The CBRC requires all banks to have interviews with lenders, a strict distinction between a mortgage and two mortgages, and the first suite is generally safe, and now a lot of hot money or speculators will enter the real estate market, such as buying dozens of homes in Beijing and Shanghai.　　China's banking system remains robust during the financial crisis, with new lending close to $10 trillion last year, a strong support for economic recovery, and China's regulation to return to fundamentals, and not simply ignore fundamentals because of innovation or adjustment in the financial sector, said Liu. It is very important for the financial system to return to the fundamentals and to control the leverage properly, and a "firewall" must be set up between large commercial banks and capital markets to strengthen risk management by using traditional financial indices such as loan-to-deposit ratio.　　Commercial banks also have a strong risk-monitoring mechanism to guard against counterparty risk. All banks must submit risk reports at the end of June the challenges to China's new loans are indeed great, and banks have been asked to reassess every project that needs to be financed. At the end of June, all banks must submit their reports to the CBRC to reflect their exposure to the loan project. The CBRC will also dispatch inspection teams to verify the true status of the report in the third quarter. At the end of the third quarter, the CBRC will strengthen supervision according to the bank rectification. "There has to be a very strict timetable for all banks to do such rectification and reassessment." "Real estate transactions should be aboveboard land recruitment system" is not that I lift a brand today, the price of a high, you can take the land. What line is that? "Real estate is a pillar industry, driving many industries, but it can not be unhealthy development." "What is the name of the hook of land and land?" The market must be aboveboard. "(Hu Hongwei)