Indemnificatory apartments to cover wider (2)

Zhu said that the pressure of surging housing prices in certain cites is reality. Rising land and labor costs, increased market liquidity, rapid urbanization, and other factors contributed to the upward pressure on prices and the difficulty of regulation. Therefore, curbing speculative investment in housing demand and containing housing prices will continue as a long-term system.

In fact, China's real estate market has actively responded to a series of measures aimed at controlling housing prices issued by the State Council.

Daily inquiries and demand for housing purchases on Saturday, just one day after the new policy came out, rose by 30 percent from Friday.

According to the statement from the State Council, homeowners selling property will have to pay a capital gains tax of 20 percent of the profit they make on the transaction.

Homeowners were previously taxed 1 to 2 percent of the total sale price.

Other measures include higher interest rates and minimum down payments for those buying a second home in cities with high real estate prices.