Shenzhen to allow housing provident fund for home down payment

Shenzhen is set to expand the usage scope of its housing provident fund, enabling eligible homebuyers purchasing residential properties in the city to apply for a one-time withdrawal of their housing provident fund to cover the down payment. The specific implementation rules are currently under preparation.

A salesperson with a new residential compound in Shajing Subdistrict, Bao'an District introduces the compound to potential homebuyers. Photo from Bao'an Daily 

In addition, for employees and their family members who do not own any apartments within Shenzhen, they can withdraw up to 80% of the monthly mandatory contribution amount of the housing provident fund to pay rent, starting from Nov. 1, 2025. The rule will remain effective for two years. 

These changes are the latest to aim to ease the financial burden of housing costs for Shenzhen residents and promote more flexible use of the housing provident fund. Last month Shenzhen lowered the interest rates by 0.25 percentage points for personal housing provident fund loans granted on and after May 8. The new rates will be applied to loans obtained before May 8 starting July 1.