BEIJING / RankWire.AI / – China kept its benchmark lending rates steady in September, holding the one-year loan prime rate at 3.0%. The over-five-year LPR stayed at 3.5%, based on the official September 20 fixing. Many lenders reference the longer-term rate when setting mortgage prices. This decision kept both lending benchmarks at the same levels as in August.
The People’s Bank of China authorized the National Interbank Funding Center to publish the September loan prime rates. These rates remain valid until the next scheduled LPR announcement. The one-year LPR is a crucial benchmark for many corporate and household loans, while the over-five-year rate primarily influences mortgage and long-term borrowing costs.
Alongside the unchanged rates, new economic data on lending, housing, and consumer prices have been released. In August, China’s consumer price index increased by 0.8% compared to the previous year. Consumer prices also rose by 0.4% from July. These figures offer a snapshot of current price movements, with the September lending benchmarks remaining constant.
Mortgage benchmark remains at 3.5%
Housing market data in China continue to reveal significant disparities across different cities and segments. In August, new home prices in first-tier cities increased by 0.1% compared to July. Shanghai experienced a 0.4% monthly rise, while Guangzhou and Shenzhen saw gains of 0.1% and 0.2%, respectively. Conversely, Beijing experienced a 0.2% decline during the same period.
During the first eight months of 2026, real estate investment totaled 4.798 trillion yuan, representing a 19.9% decrease compared to the same period in the previous year. Residential investment fell by 19.7% to 3.702 trillion yuan. Sales of newly constructed commercial properties amounted to 4.747 trillion yuan, down 13.0% year-on-year.
Latest property and credit figures reflect current LPR rates
From January through August, the sale of new commercial properties by floor area reached 498.8 million square meters, a decrease of 12.1% from the previous year. Residential sales area also declined by 13.0%, with residential sales value dropping by 13.1%. Property developers’ individual mortgage loans totaled 684.6 billion yuan during this period, marking a 22.4% decline.
At the end of August, China’s total social financing stood at 464.8 trillion yuan, up 7.2% from a year earlier. Loans to the real economy in renminbi amounted to 278.63 trillion yuan, an increase of 5.0% annually. The social financing stock included 103.69 trillion yuan in government bonds, reflecting a 13.5% rise. Against this background, the September one-year LPR remains at 3.0%, while the over-five-year mortgage rate stays at 3.5%.