Please Wait.....
Report
China Home Loan - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2020 - 2029
Market Report I 2024-02-17 I 145 Pages I Mordor Intelligence
China's Home Loan Market has generated a revenue of USD 680 billion in the current year and is poised to achieve a CAGR of 6% for the forecast period. China has one of the largest home loan markets globally. The market has witnessed rapid expansion due to increased urbanization, rising income levels, and government initiatives to promote homeownership. According to data from the People's Bank of China, the outstanding balance of residential mortgage loans reached trillions of yuan.
In an attempt to stimulate China's flagging housing market, banks in some cities are extending the upper age limit on mortgages to between 80 and 95. Although not a national policy, banks in Beijing, Hangzhou, and other big cities have started offering relay loans to elderly customers, which pass on to their children if they cannot repay. The Chinese government has implemented various policies to support the housing market and facilitate access to home loans. These include measures such as down payment requirements, interest rate regulations, and targeted subsidies to certain groups of homebuyers.
Home loans in China are primarily provided by commercial banks, including large state-owned banks, joint-stock banks, and regional banks. Non-bank financial institutions, such as insurance companies and trust companies, also participate in the home loan market. The Chinese government has implemented policies to regulate down payment requirements for home loans. Different down payment percentages are applied based on factors such as property type, location, and the number of properties owned by the borrower.
The COVID-19 pandemic has had several impacts on the home loan market in China. During the initial phase of the pandemic, there were temporary disruptions in the home loan market due to lockdown measures, restricted movement, and the closure of some financial institutions. These disruptions led to delays in loan processing and approval. The pandemic and associated lockdowns resulted in a decline in housing transactions in certain areas. Reduced housing market activity had a direct impact on the demand for home loans as potential homebuyers delayed their purchase decisions.
China Home Loan Market Trends
Impact of Increasing Household Consumption on Home Loan Market in China
Household consumption expenditure is closely linked to housing demand. As households spend more on consumption, there is an increased desire for better living standards, including homeownership. Higher per capita consumption expenditure may drive demand for housing, thereby stimulating the demand for home loans to finance property purchases. The level of household consumption expenditure can also influence the ability to save for down payments on home purchases. If households have higher consumption expenditures, they may have less disposable income available for savings, which can affect their ability to accumulate the necessary down payment required for a home loan. This can impact the size of home loans individuals can qualify for and the overall demand for mortgage financing. The level of household consumption expenditure can be an indicator of economic confidence. When households have higher spending, it suggests a positive outlook on the economy and job stability. This can positively influence the home loan market as increased economic confidence encourages individuals to make long-term investments, such as purchasing a home and taking on a mortgage.
Impact of Construction cost in Home Loan Market
Construction costs directly impact the overall cost of building homes. When construction costs increase, developers may pass on these costs to homebuyers by raising property prices. Higher home prices can impact the affordability of housing and the loan amounts borrowers need to finance their purchases. It can also affect the loan-to-value ratios, down payment requirements, and borrowing capacity of homebuyers. Construction costs influence the loan amounts sought by homebuyers. As construction costs rise, borrowers may need larger loan amounts to cover the increased costs of purchasing or building a home. This can affect the demand for home loans and the overall loan portfolio of lenders. The impact of construction costs on the home loan market ultimately affects housing affordability. When construction costs increase, it can contribute to higher property prices and mortgage payments, potentially making homeownership less affordable for some individuals and impacting the demand for home loans.
China Home Loan Industry Overview
The competitive landscape of the home loan market in China is highly competitive and continues to evolve as new players enter the market and existing players adapt to changing consumer preferences and regulatory requirements. Factors such as interest rates, loan terms, customer service, digital capabilities, and reputation are key competitive differentiators in this market. The competitive landscape of the home loan market in China is dynamic and consists of various players, including banks, non-banking financial institutions, and online lenders. The following are the major Players in the market: ICBC Co.Ltd., Bank of China, China Construction Bank Corporation, Agricultural Bank of China Limited, and Hua Xia Bank Co., Limited.
Additional Benefits:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
1 INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS AND INSIGHTS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Real Estate Market Trends
4.2.2 Government Policies
4.3 Market Restraints
4.3.1 Interest rates on Home Loans
4.3.2 Market Volatility and Uncertainty
4.4 Insights on Various Regulatory Trends Shaping the Market
4.5 Insights on impact of technology in the Market
4.6 Industry Attractiveness - Porters' Five Forces Analysis
4.6.1 Threat of New Entrants
4.6.2 Bargaining Power of Buyers
4.6.3 Bargaining Power of Suppliers
4.6.4 Threat of Substitutes
4.6.5 Intensity of Competitive Rivalry
4.7 Impact of COVID-19 on the Market
5 MARKET SEGMENTATION
5.1 By Purpose
5.1.1 Home Purchase
5.1.2 Refinance
5.1.3 Home Improvement
5.1.4 Construction
5.1.5 Other
5.2 By End User
5.2.1 Employed Individuals
5.2.2 Professionals
5.2.3 Students
5.2.4 Entrepreneur
5.2.5 Others (Homemaker, Unemployed, Retired, etc.)
5.3 By Tenure
5.3.1 Less Than 5 years
5.3.2 6-10 years
5.3.3 11-24 years
5.3.4 25-30 years
6 COMPETITIVE LANDSCAPE
6.1 Market Concetration Overview
6.2 Company Profiles
6.2.1 ICBC Co.Ltd.
6.2.2 Bank of China
6.2.3 China Construction Bank Corporation
6.2.4 Agricultural Bank of China Limited
6.2.5 Hua Xia Bank Co., Limited
6.2.6 Industrial Bank Co., Ltd.
6.2.7 China Everbright Bank Co., Ltd.
6.2.8 Postal Savings Bank Of China (PSBC)
6.2.9 China CITIC Bank International Limited
6.2.10 China Merchants Bank Co. Ltd.*
7 MARKET OPPORTUNTIES AND FUTURE TRENDS
8 DISCLAIMER AND ABOUT US
- Not Sure / Need Reassuring
- Confirm Content
-
Content is provided by our partners and every effort is made to make Market Report details as clear as possible. If you are not sure the exact content you require is included in this study you can Contact us to double check. To do this you can:
Use the ‘? ASK A QUESTION’ below the license / prices and to the right of this box. This will come directly to our team who will work on dealing with your request as soon as possible.
Write to directly on support@scotts-international.com with details. Please include as much information as possible including the name of report or link so our staff will be able to work on you request.
Telephone us directly on 0048 603 394 346 and an experienced member of team will be on hand to answer.
-
- Sample Pages
-
With the vast majority of our partners we can obtain Sample Pages to support your decision. This is something we can arrange without revealing your personal details.
It is important to note that we will not be able to provide you the exact data or statistics such as Market Size and Forecasts. Sample pages usually confirm the layout or the Categories included in Charts and Graphs, excluding specific data.
To ask for Sample Pages by contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Check for Alternatives
-
Whilst we try to make our online platform as easy to use as possible there is always the possibility that a better alternative has not been found in your search.
To avoid this possibility Contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346 and a Senior Team Member can review your requirements and send a list of possibilities with opinions and recommendations.
-
- Confirm Content
- Prices / Formats / Delivery
- Prices
-
All prices are set by our partners and should be exactly the same as those listed on their own websites. We work on a Revenue share basis ensuring that you never pay more than what is offered elsewhere.
Should you find the price cheaper on another platform we recommend you to Contact us as we should be able to match this price. You can Contact us though through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Discounts
-
As we work in close partnership with our Partners from time to time we can secure discounts and assist with negotiations, this is part of our personalised service to you.
Discounts can sometimes be arranged for speedily placed orders; multiple report purchases or Higher License purchases.
To check if a Discount is possible please Contact our experienced team through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Available Currencies
-
Most Market Reports on our platform are listed in USD or EURO based on the wishes of our Partners. To avoid currency fluctuations and potential price differentiations we do not offer the possibility to change the currency online.
Should you wish to pay in a different currency to that advertised online we do accept payments in USD, EURO, GBP and PLN. The price will be calculated based on the relevant exchange rate taken from our National Bank.
To pay in a different above currency to that advertised online please Contact our team and a quotation will be sent within a couple of hours with payment details.
-
- Licenses
-
License options vary from Partner to Partner as is usually based on the number of Users that will benefitting from the report. It is very important that License ordered is not breached as this could have potential negative consequences for you individually or your employer.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Global Site License
-
The Global Site License is the most comprehensive license available. By selecting this license, the Market Report can be shared with other ‘Allowed Users’ and any other member of staff from the same organisation regardless of geographic location.
It is important to note that this may exclude Parent Companies or Subsidiaries.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Formats
-
The most common format is PDF, however in certain circumstances data may be present in Excel format or Online, especially in the case of Database or Directories. In addition, for certain higher license options a CD may also be provided.
If you have questions or need clarification about the specific formats we recommend you to Contact us and a detailed explanation will be provided.
-
- Delivery
-
Delivery is fulfilled by our partners directly. Once an order has been placed we inform the partner by sharing the delivery email details given in the order process.
Delivery is usually made within 24 hours of an order being placed, however it may take longer should your order be placed prior to the weekend or if otherwise specified on the Market Report details page. Additionally, if details have been not fully completed in the Order process a delay in delivery is possible.
If a delay in delivery is expected you will be informed about it immediately.
-
- Shipping Charges
-
As most Market Reports are delivered in PDF format we almost never have to add additional Shipping Charges. If, however you are ordering a Higher License service or a specific delivery format (e.g. CD version) charges may apply.
If you are concerned about additional Shipping Charges we recommend you to Contact us to double check.
-
- Prices
- Ordering
- By Credit Card
-
We work in Partnership with PayU to ensure payments are made securely in a fast and effortless way. PayU is the e-payments division of Naspers.
Naspers operates in over 133 International Markets and ranks 3rd Globally in terms of the number of e-commerce customers served.
For more information on PayU please visit: https://www.payu.pl/en/about-us
-
- By Money Transfer
-
If you require an invoice prior to payment, this is possible. To ensure a speedy delivery of the Market Report we require all relevant company details and you agree to maximum payment terms of 30 days from receipt of order.
With our regular clients deliver of the Market Report can be made prior to receiving payment, however in some circumstances we may ask for payment to be received before arranging for the Market Report to be delivered.
-
- By Credit Card
- Security
- Website security
-
We have specifically partnered with leading International companies to protect your privacy by using different technologies and processes to ensure security.
Everything submitted to Scotts International is encrypted via SSL (Secure Socket Layer) and all personal information provided to Scotts International is stored on computer systems with limited access in controlled environments.
-
- Credit Card Security
-
We partner with PayU (https://www.payu.pl/en/about-us) to ensure all credit card payments are made securely in a fast and effortless way.
PayU offers 250+ various payment channels and eWallet services across 4 continents allowing buyers to pay electronically, whether on a computer or a mobile device.
-
- Website security