Regulatory Alerts2016-03-24
Added · Updated
Regulations Governing High-Priced Housing Loans Extended by Financial Institutions
The Regulations define high-priced housing loans as mortgages for residential properties valued at NT$70 million or more in Taipei City, NT$60 million or more in New Taipei City, and NT$40 million or more elsewhere in Taiwan. Financial institutions are prohibited from offering grace periods and must limit loan amounts to a maximum of 60 percent of the property's appraised value or purchase price, whichever is lower. These restrictions apply to loans extended to individuals or corporate bodies for purchasing the specified properties, and loan amounts cannot be increased for renovation or working capital purposes. Financial institutions must conduct appraisals according to internal rules and competent authority provisions, file periodic reports, and establish internal risk control procedures.
More like this from CBC
We email you every new CBC publication the day it's published.