China to launch integrated property registration system in 2016

(ECNS) -- A national real estate registration system will be implemented in Chinese cities in 2016, according to information released Monday by the Ministry of Land and Resources on its official website.

A basic institutional framework for the new policy will be set up within 2014. Transitional policies for the system will be introduced in 2015, and a full-fledged integrated registration system will be put into use before 2018, according to a schedule unveiled by the ministry.

The new system will be introduced to better preserve property rights and transaction security with higher efficiency and management standards.

Some property industry insiders have seen the system coming. "Housing prices will decline at once if the new system is executed," said Pan Shiyi, chairman of real estate developer Soho China, in 2013.

But this prediction has been refuted by other experts.

Housing prices will not collapse immediately, said Chen Guoqiang, vice chairman of the Chinese Real Estate Society.

The registration system is a preparation for imposing a nationwide property tax, but it's not an indicator that housing prices will jump soon, Chen said.

Medium and longer terms effects of the policy are likely to be felt by property markets in China, according to Liu Yuanchun, professor at Renmin University's school of economics.