Homelink, one of China’s largest brokerages, closes 87 Beijing offices

As Chinese real estate regulators crack down, a big player is in retreat

New York /
May.May 10, 2017 07:13 PM

Beijing Homelink Real Estate, one of China’s largest brokerages, announced the closure of 87 offices in the country’s capital citing an attempt to “proactively abide by compliance requirements” amidst an increasingly tight regulatory environment for China’s real estate industry.

China’s government is acting on initiatives designed to bring down soaring home prices, introducing new restrictions on home purchasing and lending that have rocked the country’s unpredictable real estate market. In March, the government raised the mandatory down payment for second homes by 10 percentage points and cut the maximum length of mortgages to 25 years from 30 years.

China Vanke, China’s largest real estate developer which lost $10 billion in market value last year as shareholders jumped ship due to regulatory uncertainties, is an investor in Homelink.

The Real Deal reported this month on how Chinese capital controls, which reduce the outflow of domestic capital, are affecting the New York real estate market. [Bloomberg] — Will Parker


Related Articles

arrow_forward_ios
Fantasia Chairman Pan Jun (Getty)
Evergrande isn’t only Chinese developer in deep debt
Evergrande isn’t only Chinese developer in deep debt
Evergrande posts photos of workers at dozens of job sites as troubles mount
Evergrande posts photos of workers at dozens of job sites as troubles mount
Evergrande posts photos of workers at dozens of job sites as troubles mount
China’s real estate sector rankled investors this week while the Fed signaled it would taper its support of the U.S. mortgage market before the end of the year. (iStock)
Real estate stocks slide as China spooks investors
Real estate stocks slide as China spooks investors
Blackstone Group's Stephen Schwarzman, KKR's Henry Kravis and Apollo's Leon Black (Getty, Facebook, iStock)
Blackstone, Apollo, KKR take market hit on Evergrande tumult
Blackstone, Apollo, KKR take market hit on Evergrande tumult
Chinese developers in US struggle as Evergrande mess threatens business back home
Chinese developers in US struggle as Evergrande mess threatens business back home
Chinese developers in US struggle as Evergrande mess threatens business back home
Hong Kong Stock Exchange (Getty)
Investors sell off Chinese real estate stocks
Investors sell off Chinese real estate stocks
Blackstone CEO Stephen Schwarzman and Soho China CEO Zhang Xin (Getty)
Blackstone bails on $3B acquisition of Soho China
Blackstone bails on $3B acquisition of Soho China
Whitney Duan and 432 Park Ave (432 Park)
Condo linked to China’s missing magnate sells at 432 Park Avenue
Condo linked to China’s missing magnate sells at 432 Park Avenue
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...