Nearly 90 Chinese Cities Roll Out Housing Subsidies as Dalian Introduces First Mortgage Interest Subsidy for Second Homes

Policy Scale and Coverage

As of late July 2026, nearly 90 cities across China have introduced housing purchase subsidy programs targeting homebuyers, according to the China Index Academy (Zhongzhi Yanjiu Yuan). The wave of subsidies forms part of a broader government effort to stabilize the property market and boost domestic consumption. In a notable addition to this trend, Dalian — a major city in northeastern Liaoning province — launched China's first interest subsidy policy specifically for second-home mortgage borrowers on July 24, 2026.

Under the Dalian policy, homeowners who take out a public housing provident fund (HPF) loan for a second home between July 24, 2026 and December 31, 2027 are eligible for a government-funded interest subsidy during a defined period. The subsidy is designed to reduce the effective borrowing cost for upgraders purchasing larger family homes.

Over 570 Policy Measures in H1 2026

Across China, a total of more than 570 real estate-related policy measures were introduced in the first half of 2026, including over 310 involving the public housing provident fund system, Zhongzhi Yanjiu Yuan reported. These include down-payment ratio reductions, loan interest rate cuts, and direct purchase subsidies — collectively representing one of the most aggressive rounds of housing market intervention in recent years.

Target Audience

The policies broadly target first-time homebuyers, families upgrading to larger homes, and in Dalian's case, existing homeowners seeking to purchase a second residence. The latter is particularly significant, as most cities have historically restricted second-home purchases rather than incentivized them.

Policy Summary

Source: Zhongzhi Yanjiu Yuan (China Index Academy), July 2026; Dalian Housing Provident Fund Management Committee, July 24, 2026.