Shanghai home mortgage loans fall in August -cbank

SHANGHAI: Shanghai's stock of individual mortgages fell by 1.06 billion yuan (RM487 million) in August, the first monthly fall this year, as government efforts to cool down the sector continued to hit home purchases.

The fall came after net new mortgage loans in the city increased by a tiny 270 million yuan in July, compared with a rise of 3.08 billion yuan in June, a slowing trend in place since the Chinese government launched a campaign to clamp down on sky-high property prices in mid-April.

The Shanghai branch of the People's Bank of China (PBOC), which issued the figures, did not say how big the stock of outstanding mortgage loans in the city was by the end of August.

The central bank did not comment on housing prices in Shanghai, China's financial hub, which are regarded as one of the benchmarks for the country's urban real estate market, together with the capital Beijing and the southern boomtown of Shenzhen.

Local media have reported a rebound in property transactions in major cities including Shanghai in August, with prices largely remaining unchanged despite government cooling steps. -- Reuters