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BEIJING, Nov. 21 -- Regulations to curb property sector risks must not be relaxed, Chinese authorities said Tuesday.
Officials must not think of "taking a breather," according to a statement issued after a meeting on real estate policies in central China's Hubei Province.
The meeting was held by the Ministry of Housing and Urban-Rural Development, the Ministry of Land Resources and the People's Bank of China.
Since late last year, dozens of local governments have passed or expanded restrictions on house purchases and increased the minimum down payment required for mortgages.
The property market was also cooled by tightened liquidity as the government contained leverage and risk in the financial system.
The statement stressed continuity and stability of property controls.
Priority should be given to stabilizing the real estate sector and dissolving the risk of a bubble. Funds should be prevented from flowing into the property sector illegally and the land supply should be increased.
Megacities with high housing prices should have some functions moved out and be better connected with smaller cities, the statement said.
Meanwhile, small cities should improve public services and steadily reduce housing inventories, it said.
The statement reiterated that rental housing was needed and that work to establish a long-term mechanism to support a stable and healthy property sector must speed up.
