China's new 40-y mortgage policy: early bank responses and implementation challenges

Source: Mysteel Sep 24, 2026 14:40

A few weeks after China's new housing policy, announced on August 28, took effect, banks are accelerating implementation, particularly the extension of personal mortgage terms to as long as 40 years.

Several regional small and medium-sized banks have taken the lead in promoting personal mortgage lending, while industry insiders note that implementation remains uneven, with bottlenecks including divergent risk-control standards across banks. They suggest that clearer differentiated debt-servicing guidelines and greater cross-departmental information sharing could help streamline implementation and improve