Banks in China reduce home loan rates

Friday 21 January 2022 12:49 CET | News

Commercial banks in the cities of Beijing, Shanghai and Shenzhen have made reductions to their home loan rates of around 5 basis points.

In Beijing rates for first home loans have fallen to 5.15% at many banks, while the rate for second home loans has fallen to 5.65%. In the Shanghai area first home loan rates fell to 4.95% at multiple banks, while for second home loan rates in general stand at around 5.65%.

Shenzhen has seen first home loan rates fall to around 4.9%, while second home loan rates are at 5.2%. The cuts come in the immediate wake of declines in China’s benchmark loan prime rate (LPR) which was released on 20 January 2022.

The January LPR’s were 3.7% for the 1-year LPR, for a decline of 10 basis points compared to the previous month, and 4.60% for the 5-year LPR, for a decline of 5 basis points.

More: Link

Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: lending, interest rate, authorisation rate
Categories: Banking & Fintech
Countries: China
This article is part of category

Banking & Fintech