Housing boom in commercial banks causes bubbles in China's property market

Xinhua Beijing, November 16, the Chinese Academy of Social Sciences released a housing Green Paper, "China's Housing Development Report (2009-2010)." Gao Guanchun, a finance and Trade Institute at the Chinese Academy of Social Sciences, said at the press conference that the 2008-year decline in commercial banking business was over for several months in 2009 and continued to attack.　　Led to the rapid rise in China's housing prices in 2009, housing market even bubble situation. Gao Guanchun pointed out that the problems of housing financial institutions in the following areas: One is the same 2008-year liquidity contraction of the slow impact of the decline in house prices, 2009, the rapid release of liquidity to promote the rapid rise in housing prices. Second, the influx of loans into the housing sector since 2009 has supported speculative housing development and consumption rather than authentic housing development and consumption. Third, the risk relaxation means limited.　　Four, the policy of housing finance has not played an effective supporting role. On the policy, Gao Guanchun suggested that there should be pressure control. "Bao" is the first set of housing loans, actively support and encourage the first set of mortgages, first through the downward mortgage rate to reduce the cost of the first mortgage lenders. Second, the use of policy means to low-income buyers of housing loans to pay discount. "Control" is strictly controlled speculative housing, to prevent the risk of mortgage. (according to the Chinese net text live finishing)