新闻资讯

News

Index  > News

Govt to scrap property transaction fees

2015-09-020BrowseIndex

The government will waive or lower some transaction fees on residential housing from May 1 to benefit property buyers. The measures will enable companies and individuals to save 4.1 billion yuan ($624 million), the National Development and Reform Commission said in a statement Wednesday.

The government will waive property mortgage processing fees, processing fees for transfer of residential ownership through inheritance or between spouses, and leasing of low rental and public housing rentals, the statement said. Transfer charges on other types of public housing including price-limit housing will be halved, the statement added. Charges for construction site environmental impact studies – on investments lower than 10 billion yuan ($1.52 billion) – in sectors including agriculture, fisheries, and forestry will be lowered by 20 percent, it said. The statement didn't' specify whether these measures are permanent.

The policy follows an announcement by the country's top economic planner on Tuesday, which required developers to publish the sale price of every property on the market and the number of apartments available for sale within a certain time frame, effective from May 1. The Wednesday move prompted concerns that it might run counter to the policy of cracking down on property speculation. However, analysts said yesterday's move won't have a major impact on the market as the changes only involve small amounts of property-related fees. "The new policy won't have any influence on curbing property prices.

The charges to be waived or reduced are only petty cash compared to the much higher property price," Zhang Dawei, director of third market research at Centaline Property Agency, told the Global Times. For example, property mortgage processing fees currently cost 85 yuan ($12.95), while processing fees for transfer of residential ownership ranges between 100 yuan ($15.24) and 200 yuan ($30.48) – depending on the size of the property, Zhang said, adding the policy could bring some benefits to those covered in public-housing programs. Hui Jianqiang, a senior analyst with the E-House R&D Institute, told the Global Times that the policy is aimed at clearing up miscellaneous expenses involved in property transactions and further regulate the system of property-related taxes and fees. "More policies are expected to be rolled out later this year and the levying of property taxes will be extended sooner or later, if not immediately," he said. The government has implemented a number of measures to contain home prices including purchase limits in some cities and a test property tax program in Shanghai and Chongqing.