Homeowners in many places initiate action to stop lending

A campaign launched by homeowners threatening to stop mortgage repayments on unfinished homes has quickly heated up on Chinese social media this week. Homeowners from all over the country have declared that they will also “stop lending” if developers fail to deliver on their promises to deliver pre-sale homes on time. At present, the number of properties that owners have declared to suspend loans exceeds 270 , of which Evergrande Group occupies the absolute majority, and Zhengzhou, Henan has the largest number. Total new-home sales by China’s 100 largest developers have fallen year-on-year every month since July last year, and the decline accelerated in the first half of the year, according to industry data provider Kerry Real Estate Research Center.

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