The Economic Information Daily reported on the 29th that property stocks rose, with Longfor (00960) up 0.9% at HK$5.5; China Overseas (00688) up 2.2% at HK$13.17; Sunac China (01918) up 2.4% at HK$0.65; and China Resources Land (01109) up 1.4% at HK$29.86.

The Shanghai Municipal Commission of Housing and Urban-Rural Development, the Municipal Housing Administration Bureau, the Municipal Planning and Natural Resources Bureau, and the Shanghai Financial Regulatory Bureau jointly issued the "Implementation Opinions on Implementing the Notice on Improving the Commodity Housing Sales System" (hereinafter referred to as the "Implementation Opinions"), effective from September 28, 2026. The "Implementation Opinions" cover six aspects of policy measures, including strengthening pre-sale management, implementing ready-to-move-in housing sales, promoting the lead bank system, increasing financing support, optimizing land supply management, and improving quality supervision and market order regulation.

Regarding commodity housing pre-sale management, the "Implementation Opinions" specify that for commodity housing projects with new land transfer announcements issued after August 28, 2026, pre-sale applications require the completion of main structure topping-out for individual buildings. Pre-sale funds will be subject to full and continuous supervision; fund supervision will only be lifted after comprehensive project completion acceptance. At the same time, Shanghai will gradually implement ready-to-move-in housing sales. Commodity housing projects with land transferred under new announcements from August 28 onward will prioritize ready-to-move-in sales, with relevant information disclosed in the land transfer announcement. Real estate developers must apply for ready-to-move-in housing sales registration with the district housing management department after obtaining the initial property registration.

Promoting the lead bank system is one of the key components. The "Implementation Opinions" clarify the implementation of the lead bank system. For projects with loan contracts signed on or after August 28, 2026, a lead bank system will be implemented. If a single bank provides the development loan, that bank will be the lead bank; if a syndicated loan is arranged, the syndicate's lead bank will serve as the lead bank.

*Personal mortgages for pre-sale projects will only be issued after project completion registration*

Regarding increased financing support, the "Implementation Opinions" standardize the disbursement of personal mortgage loans. For projects obtaining pre-sale permits on or after August 28, personal housing mortgage loans (including provident fund loans) will only be disbursed after project completion registration. Loan funds must be paid to the supervised fund account via entrusted payment. The document also proposes to strengthen support for development loans, meeting the reasonable financing needs of both ready-to-move-in and pre-sale projects based on market principles, ensuring that development loan disbursements match the project construction timeline. Greater support will be provided for development loans to ready-to-move-in housing projects and "quality housing" projects.

In addition, the "Implementation Opinions" support qualified real estate developers in conducting project-based financing through bonds, stocks, asset-backed securities, and real estate investment trusts (REITs), treating all types of ownership real estate developers equally in meeting their reasonable financing needs.

Currently, the Hang Seng Index stands at 24,539, down 103 points or 0.4%, with main board turnover exceeding HK$22.6 billion. The Hang Seng China Enterprises Index is at 8,186, down 30 points or 0.4%. The Hang Seng Tech Index is at 4,254, down 41 points or 1%.

 (am)