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Nanning has no plan to ban unfinished housing sales

By Rong Xiandong and Shixi (chinadaily.com.cn)
Updated: 2010-01-28 08:30

Nanning's mayor said Wednesday that there is no detailed plan to ban the sales of uncompleted housings in the whole city.

"It's too early to pilot banning the sale of uncompleted commercial residential buildings in Nanning，" said Huang Fangfang, the mayor of Nanning, capital city of South China's Guangxi Zhuang Autonomous Region on January 27, 2010.

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"To ban the presale system is the trend of China's realty industry, but currently, it's still too early to make it across the city," Huang said.

Huang explained that they have not yet put forward specific plans on how to ban the presale system, although the move had been discussed in a meeting of the region's construction department on January 23.

In 2009, the investment in the city's real estate sector totaled 26.6 billion yuan, an increase of 13 percent from the previous year, while the housing price increased about 16 percent. The sales volume of housings totaled 33 billion yuan last year, with the average price exceeding 4,500 yuan per square meter and the average realty price in urban areas 4,850 yuan per square meter.

There is still a huge demand for commercial residential building and banning sales of pre-sold houses would be a huge blow to the developers' enthusiasm, Huang estimated. "We might start to ban the presale in some areas if it's necessary."

"According to current data, there is no unhealthy development in Nanning's housing prices," Huang said.