The Chinese real estate industry is set to receive a much-needed boost which may include an easing of restrictions on the purchase of second homes, the expansion of funding channels for developers and a further cut in the taxes and fees associated with property purchase in China.
The plan is part of the government’s efforts to keep the country’s economic slowdown at bay. It is busy on a package of plans to revive ten key industries to keep China’s GDP growth above 8% and has already approved similar plans for the steel, textile and car industries. The property industry is one of the biggest drivers of China’s domestic economy. It contributes a quarter of fixed-asset investment and employs around 77 million people, so it is a prime candidate for a lifeline from the government.
