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China to strengthen regulation on real estate agencies

Xinhua, August 17, 2016 Adjust font size:

Chinese authorities have unveiled guidelines to improve regulations on real estate agencies, which have become a major source of customer complaints due to misleading information.

The guidelines, released by the Ministry of Housing and Urban-Rural Development and six other related government departments, ordered that housing information should be officially verified before being advertized by agencies.

The guidelines also promised to improve credit information system in the sector and regulate cooperation between real estate agencies and financial institutions.

The move is part of government efforts to improve the residential sale and rental market, as fake listings and irregular charges threaten to sully the sector's reputation.

In an inspection earlier this year, Shanghai regulators issued fines of between 130,000 yuan (about 19,548 U.S. dollars) and 200,000 yuan to six real estate agents, including industry leaders Lianjia.com and 5i5j.com for false advertising. Endi