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Hainan curbs housing speculation amid free trade zone pilot

Xinhua | Updated: 2018-04-17 14:40
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HAIKOU - China's island province Hainan on Monday announced measures to rein in speculation in the soaring residential property market, following a new policy which designates the province as the country's new frontier for reform and opening-up.

Hainan is set to develop into a pilot free trade zone, according to the guideline issued by the central government last week.

The Hainan provincial housing and urban-rural development bureau issued a notice on Monday requiring all cities and counties in the province to strictly carry out the policies to curb housing speculation. Government officials in cities which fail to rein in the soaring housing prices will be censured.

The new rule states that residential properties bought after March 30 are not eligible for resale for five years.

The bureau tightened policy controls on the housing market on March 30, when it stated those without a hukou, or household registration permit, in Hainan may only purchase one residential property on the island. Those who want to buy a second residential property in one of seven "overheated" cities and counties, including Sanya and Haikou, must show records of over 60 months of individual income tax and social insurance payments in the province.

Housing experts said that the consecutive policies have built a "threshold" to curb the red-hot property market and cool property trading in the next few years in Hainan.

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