Personal housing loans are the loans that China Construction Bank provides to natural persons in China with loan capital for the purpose of purchase, construction, restoration of habitation. The loans are generally known as “personal housing mortgage loans”.
1. Purpose of Loans: The loans are used for supporting purchase, construction and restoration of housing within the China border.
2. Borrowers of Loans: Loan borrowers are Chinese citizens vested with full capacity for civil conduct. They can either be natural persons, residents in Hong Kong or Macau and are vested with the full capacity for civil conduct and the right of abode in mainland China, or foreigners with the right of abode in China and are vested with the full capacity for civil conduct.
3. Conditions of Loans:
Applicants shall meet all the following conditions concurrently:
(1) They must satisfy the legal status;
(2) They must have stable income sources, good credit standing and the ability to repay the principal and interest that the loans incur;
(3) They must hold contracts, agreements or any other documents in verification as demanded by the lending banks for the purpose of purchase, construction and restoration of housing.
(4) They must be able to self-finance 30% or above of the full home price (or 20% coverage for houses purchased for own occupation with building area below 90 square meters). They must guarantee the loans are used to provide for the first installment of the house they purchase.
(5) They must have assets that the lending banks recognized as collateral or pledge for the loans, or be able to secure legal persons, or other economic entities or natural persons as guarantors to act on their behalf with the full capacity for repayment.
(6) They will observe any other conditions as stipulated by the lending banks.
4. Loan Limit:
Maximum loan limit shall be 80% of the purchase price or the valuation price (based on the lowest price) of the house or apartment (including construction and renovation).
5. Loan Period: Maximum loan period shall not exceed 30 years.
6. Loan Interest Rate:
Interest rate shall be set in accordance with the interest rate policy stipulated by the People’s Bank of China and the China Banking Regulatory Commission.
7. Supporting Documents Required for Loan Application:
(1) Copies of Identity Cards (Including identity cards of residents, household register and military certificate, of For those over the border or overseas residents, please provide passport right of abode in China, visit pass, home return permit and other documentary proofs)
(2) Documentary proofs showing the repaying capability of the authorized borrowers by loan institutions.
(3) Legal and valid sale and purchase agreement (including construction and renovation), other contracts and related documents for approval
(4) Documentary proofs for raising money by the borrower for purchasing houses (including construction and renovation)
(5) Housing sale/pre-sale permit or property ownership certificate (existing houses) (copies);
(6) Other documents and information stipulated by loan institutions.
8. Procedures for loan application
(1) Loan Enquiry: Applicant can get information about the personal housing loans targets, conditions of loan application, loan amount, loan tenure, interest rate, repayment method and other procedures at branches or via calls or websites.
(2) Loan Application: Applicant have to submit materials required by CCB for mortgage application.
(3) Signing Contract: Once the application is approved, CCB will sign the mortgage contract with the applicant.
(4) Loans approved: CCB will grant loans to the applicant regularly in accordance with the contract.
(5) Regular repayment: Applicant should reimburse the loan on schedule according to the contract.
(6) After-loan service: Applicant could enjoy new products and incremental services provided by CCB.
