Wuhan plans to introduce new regulations on the supervision of pre-sale funds: the supervision account information should be publicized in the sales office.

On September 13, Wuhan Housing Management Bureau issued an announcement for comments on the Measures for the Supervision of Pre-sale Funds of Newly-built Commercial Houses in Wuhan (Draft for Comment). The announcement pointed out that real estate development enterprises should choose a supervision bank to open a supervision account before submitting the pre-sale plan; The supervision account information shall be specified in the pre-sale permit of commercial housing and the contract for the sale of commercial housing, and publicized on the website of commercial housing sales and the portal website of the supervision department.

At the same time, the above draft for comments makes it clear that the capital in the supervision quota should be allocated according to the construction progress, and the first allocation of nodes should not be completed before the underground structure. The final distribution node is the first registration of real estate, and the specific distribution node is determined by the regulatory authorities; Real estate development enterprises can apply for the use of funds within the regulatory quota according to the allocation node determined by the regulatory authorities. Before the project is completed and accepted, the balance of the rough project supervision account shall not be less than 5% of the supervision amount, and the balance of the fully decorated project supervision account shall not be less than 10% of the supervision amount.

In addition, the exposure draft proposes that the regulatory banks should do a good job in monitoring the regulatory accounts in strict accordance with the tripartite supervision agreement on pre-sale funds, and regularly reconcile with the local housing and urban-rural construction departments. If a real estate development enterprise is found to misappropriate funds in violation of regulations within the regulatory limits, it shall stop allocating funds and immediately inform the regulatory authorities, which shall promptly deal with them.