Housing market hit by new rules

14 cities put caps on purchases for residents and on housing loans

GUANGZHOU - Property sales have seen a sharp drop and there's been an increase in the number of cancellations of home orders in Chinese cities that have introduced regulations to limit purchases of property.

Dalian, in Liaoning province, is the latest to join in this move to control the rampant property market. On Tuesday, it suspended second-home purchases for families who are residents, while denying new home loans for migrant families who have not worked in the city for at least one year, said a local official.