Zhu Yile|2023-11-17
How can expats buy property in China?
How can expats buy property in China?

In recent years, the number of expats coming to China has been increasing, and many of them need to work and study here for an extended period. Over time, they develop a liking for life here and, desiring a stable and comfortable living environment, decide to settle down and buy a house. Therefore, buying property in China has become a necessity for many expats.

For them, buying a house in a foreign country inevitably raises many questions, such as what conditions need to be met and what documents are required to purchase property in China. Here are some answers.

Which foreigners can buy property in China?

  • Foreigners holding Chinese permanent residency.
  • Foreigners who have been working or studying in China for more than one year.
  • Foreigners without other real estate in China.
  • Must have a labor contract (holding a work visa).

Conditions and requirements for foreigners to buy property in China:

  • Provide identification: "Foreign Permanent Resident ID Card," passport, and work permit.
  • A labor contract is mandatory (holding a work visa).
  • Provide local continuous social security or income tax payment records for one year or more (back payments are not accepted). For example, if planning to buy a house in November, provide social security, labor contracts, etc., from October of the previous year to the present.
  • No other real estate in China.
  • The purchased property is intended solely for personal use, and a written commitment is required to ensure that the property will be used exclusively for personal purposes. Overseas individuals cannot purchase non-residential properties (such as office buildings, commercial properties, etc.) in China.
  • Foreign individuals can only purchase one residential property per family.
  • Provide original and photocopy of family members' identification documents:

  1. Provide the original and photocopy of the marriage certificate for married individuals. For divorced individuals, provide the divorce certificate along with the agreement or divorce decree (overseas documents need certified translation; if there is a history of multiple marriages, provide documents for each marriage).
  2. If the buyer's family has underage children, provide the original and photocopy of the birth certificate (overseas documents need certified translation).

Other Considerations:

  • Foreigners should carefully check whether the pre-sale permit for the property they intent to purchased indicates it is for foreign sales. If the property is designated for foreign sales, foreigners can proceed to sign a property purchase contract. If not, the developer should report to the National Security Bureau to change the status to a property for foreign sales before both parties can sign a property purchase contract.
  • In a joint property purchase, clearly specify the ownership percentage; otherwise, ownership on the property certificate defaults to equal distribution among those listed.
  • Ensure that the sales contract and personal qualification materials are error-free to avoid impacting the final application results.
  • When signing the contract, ensure that both Chinese and foreign names are explicitly stated in the contract.
  • If the provided notarized documents are in a foreign language, they must be translated by a translation company. Some materials provided by foreigners, such as power of attorney and consent forms, must be notarized and certified by domestic and foreign institutions to be valid.

Taking Shanghai as an example, here are the considerations for a foreigner buying a house:

  • Choose a Chinese name (usually translated from English name) and notarize it at the local notary office to obtain a certificate of the foreigner's Chinese name.
  • Provide residence permit for overseas individuals, and the work visa must be valid.
  • A local labor contract in Shanghai that has been continuous for at least one year from the date of house purchase, along with corresponding income tax or social security documents.
  • Provide original and photocopy of family members' identification documents:

  1. Provide the original and photocopy of THE marriage certificate for married individuals. For divorced individuals, provide the divorce certificate along with the agreement or divorce decree (overseas documents need certified translation; if there is a history of multiple marriages, provide documents for each marriage).
  2. If the buyer's family has underage children, provide the original and photocopy of the birth certificate (overseas documents need certified translation).

  • A written commitment is required, including spouses and jointly living underage children, to declare that they do not own a house in Shanghai before purchasing, and the property is intended for personal use.
  • Ensure that the sales contract and personal qualification materials are error-free.
  • Different districts in Shanghai may have slight differences for foreigners buying houses, so it's advisable to confirm details with the transaction officer before proceeding.

Officially Designated Translation Agencies (Using Shanghai as an example)

Shanghai SISU Translation Service Co.

Address: 573 Chifeng Road

Phone: 021-65362031, 021-65362032

Business hours: Monday to Friday, 8:30 am - 16:30 pm

Nearby transportation: Metro Line 3, Chifeng Road Station, Exit 1

Shanghai Interpreters' Association

Address: Room 1607, Guolǚ Building, 1277 Beijing West Road (near Xikang Road)

Phone: 021-63239181, 021-63239910

Business hours: Monday to Friday, 9:00 am - 16:30 pm

Nearby transportation: Metro Line 12, Nanjing West Road Station, Exit 14

Online services are also available and you can send the documents for translation (in electronic format) to: fyxh@shwsfy.com