New rules require residential projects to be structurally topped out before units can be sold, tightening developer cash flow while seeking to better protect buyers and reduce unfinished-home risks

New guidelines from financial regulators mark a shift away from the presale model, tighten oversight of project funds and allow mortgage terms of up to 40 years

China shifts from pre-sale to completed-home sales model, with finished properties now making up 32.5% of transactions, up from 10.4% in 2021.

New guidelines call for shift away from presales before units are built