HK Stock Market Move | Inhouse stocks collectively opened high, the central bank officially announced a reduction in the interest rate of existing home loans, and the down payment for second homes was reduced to 15%.

Inner city real estate stocks collectively opened higher. As of press time, SUNAC (01918) rose by 6.8% to 1.1 Hong Kong dollars; SHIMAO GROUP (00813) rose by 5.66% to 0.56 Hong Kong dollars; MIDEA REAL EST (03990) rose by 5.52% to 3.25 Hong Kong dollars; CHINA VANKE (02202) rose by 3.73% to 4.73 Hong Kong dollars. On the news front, Pan Gongsheng, governor of the People's Bank of China, announced during a press conference at the State Council Information Office on September 24 that the central bank will lower the interest rates on existing home loans and unify the minimum down payment ratio for mortgage loans, guiding commercial banks to lower the interest rates on existing home loans to near the rates for new mortgage loans, with an average reduction of around 0.5 percentage points. The minimum down payment ratio for first and second homes will be unified nationwide, with the minimum down payment ratio for second homes reduced from 25% to 15%. Opensource Securities pointed out that from the perspective of reducing the burden of repaying loans for residents, boosting consumption potential, and curbing early repayments, the move to lower interest rates on existing home loans is rational. Past adjustments to existing mortgage rates have had some effect. Lowering interest rates on existing home loans can not only save borrowers on interest payments, reduce residents' debt pressure, and expand consumption and investment, but also help commercial banks smooth out the pressure of early repayments, stabilize housing consumption expectations, and boost home buying confidence.