Shanghai joins drive to curb China property mania

BEIJING: Several Chinese cities including Shanghai have followed Beijing in restricting purchases of multiple homes as the government keeps up its campaign to curb property speculation.

Locally registered families in Shanghai who already own two homes, and families registered elsewhere who already own one home, will be barred from buying more property, the official Xinhua news agency reported.

And families without a Shanghai residence permit may buy their first property only if they can document that they have paid income and social security taxes in the city for at least a year, according to rules issued by the Shanghai government.

Beijing, the capital, released even tougher rules last Wednesday, Feb 16. Anyone not registered in Beijing must have paid taxes for five years before they can buy property.

Xinhua said Nanjing in eastern China and Harbin in the northeast announced restrictions similar to Shanghai's on Saturday.

The curbs follow an order by the State Council, China's Cabinet, last month that local governments must take action if home prices in their cities are rising too fast.

The ruling Communist Party, acutely aware of public anger over unaffordable housing prices, has redoubled efforts since last April to rein in property inflation and speculation. — Reuters