Jianpu Technology Investigation (NYSE: JT): Impact of New Round of Tightening Regulation on Real Estate Market Spreads
Jianpu Technology (NYSE: JT)
BEIJING, CHINA, March 7, 2021 /EINPresswire.com/ – Ranking: Nanning regained No.1 with senior mortgage rate over 6%
As of February 2021, the list of the top 10 Chinese cities with the lowest first-home mortgage rates remained unchanged. Among the top 10 cities with the highest first-home mortgage rates, Nanning regained the No. 1 with a senior mortgage rate above 6%.
With the triggering of a new round of regulations, the mortgage rate is expected to rise further
From the end of January, a number of cities issued signals of tightening mortgage markets. January is usually a month with sufficient mortgages for many banks. While last January, alongside rising mortgage rates, these banks’ mortgages tightened and some are even having to suspend lending activities, demonstrating the power of concentrated regulation. For some other areas where the mortgage rate and loan amount were not affected, people working in banks said the mortgage rate could increase in the short term.
The new set of home mortgage regulations and the increase in mortgage rates had little to do with adjusting the 5-year LPR. On February 20, the People’s Bank of China announced that the latest LPR remains unchanged, as the regulatory impact spreads and other regions may follow rising mortgage interest rates in the future.