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      Possible 20% discount for Beijing mortgage takers

      2012-06-18 17:50 Xinhua     Web Editor: Xu Rui comment

      Several banks are studying providing a better discount in mortgage loan rates for house buyers in Beijing, local media reported on Sunday.

      Currently, buyers in the Chinese capital mostly enjoy a 15-percent discount. The central bank affirmed previously the discount rate must not exceed 30 percent.

      Banks say a 30-percent discount will be difficult - however, they are considering offering qualified clients a 20-percent discount in the near future, the Beijing Youth Daily reported.

      The People's Bank of China (PBOC), the central bank, earlier denied media reports that its "urgent statement" to banks concerning the 30-percent discount in house loan rates for individuals had signaled a policy change.

      Instead, the PBOC said the statement only emphasized that the maximum discount in mortgage loan rates should not be raised further to top 30 percent.

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