Provisions on the Release of Real Estate Advertisements

Order of the State Administration for Industry and Commerce No.80

December 24, 2015

(Promulgated by Order of the State Administration for Industry and Commerce No.80 on December 24, 2015)

Article 1 The release of real estate advertisements shall comply with the Advertising Law of the People's Republic of China (hereinafter referred to as the "Advertising Law"), the Law of the People's Republic of China on the Administration of Urban Real Estate and the Land Administration Law of the People's Republic of China as well as relevant national provisions.

Article 2 For the purpose of the Provisions on the Release of Real Estate Advertisements (hereinafter referred to as the "Provisions"), real estate advertisements refer to advertisements on the offer to sell, offer to lease, sale, lease and transfer of estate projects and other introductions to real estate projects released by real estate developers, real estate owners and real estate agencies.
The Provisions do not apply to those advertisements on personal and non-operational sale, lease and exchange of houses.

Article 3 Real estate advertisements shall be authentic, lawful, scientific and accurate, and shall not cheat or mislead consumers.

Article 4 Real estate advertisements shall provide authentic house resource information and indicate the gross floor area or usable floor area, and shall not contain the following content:
1. any promise of appreciation or investment return;
2. indication of the project location by the time required between the project and a specific reference location;
3. violation of the relevant national provisions on price administration; and
4. misleading publicity on any traffic, commercial, cultural and education facilities and other municipal amenities that are planned or under construction.

Article 5 No real estate advertisement may be released if one of the following situations exists:
1. where the real estate is built on the land the right to use State-owned land of which has not been obtained in accordance with the law;
2. where the real estate is built on the collectively owned land which has not been expropriated by the State;
3. where the judicial department or administrative agency adjudicated or decided to seal up the real estate or restrict the right to the real estate in other forms;
4. where the pre-sale license of the project has not been obtained for the pre-sale of real estate;
5. where there is a dispute over the title;
6. where the real estate is built in violation of relevant national provisions;
7. where the real estate does not conform to the project quality standards and fails to pass the acceptance inspection; and
8. other situations forbidden by laws and administrative regulations.

Article 6 The following supporting documents which are authentic, lawful and valid shall be required and provided for the release of a real estate advertisement:
1. the business license or other subject qualification proof of the real estate developer, the real estate owner and the real estate agency;
2. the qualification certificate of real estate developer issued by the competent construction department;
3. the certificate of land-use right for the project issued by the competent land department;
4. the certificate of successful acceptance of the project;
5. where an advertisement on the pre-sale or sale of real estate is to be released, the permit of pre-sale or sale issued by the competent construction department of local government shall be obtained; and in case of an advertisement on the lease or transfer of the project, the relevant certificate of title shall be obtained;
6. where an advertisement for a real estate project within an agency's business range is released by the agency, the certificate of authorization from the owner shall be presented; and
7. other certificates that can prove the authenticity of the advertisement content.

Article 7 An advertisement on the pre-sale or sale of real estate shall specify the following items:
1. the name of the developer;
2. where the real estate is sold by a real estate agency, the name of this agency shall be specified; and
3. the number of license for pre-sale or sale.
Where an advertisement only introduces the name of the project, the above-mentioned information may be omitted.

Article 8 The content of a real estate advertisement shall not contain geomancy, divination or other superstitious information and the introduction and exaggeration of the project shall not be against the good social practice.

Article 9 Where a real estate advertisement involves the title of or the right to use the real estate, the basic unit owned or used shall be the actual space that can be effectively and fully used for production or living.

Article 10 Where a real estate advertisement contains the price, the price shall be the actual sale price and the valid term for the price must be specified.

Article 11 The demonstrative map for the location of the project in a real estate advertisement shall be accurate, clear and in proper proportion to actual dimensions.

Article 12 Where the traffic, business, cultural and education facilities as well as other municipal conditions involved in a real estate advertisement are under planning or construction, such information shall be detailed in the advertisement.

Article 13 Where a real estate advertisement contains information on interior structure or decoration, such information shall be authentic and accurate.

Article 14 A real estate advertisement shall not demonstrate the visual effect of the present project by using the image or environment of other projects.

Article 15 Where a design sketch or model photo is used in a real estate advertisement, such information shall be indicated in the advertisement.

Article 16 A real estate advertisement shall not contain information on financing or disguised financing.

Article 17 Where a real estate advertisement involves loan service, the name of the loan bank as well as the line of credit and term shall be specified.

Article 18 A real estate advertisement shall not contain the promise made by the advertiser to purchasers with regard to the acquisition of permanent residence, job opportunity, study and other matters.

Article 19 Where a real estate advertisement involves the information on property management, the information shall conform to relevant national provisions; where the information on property management that has not been realized is involved in the advertisement, such information shall be indicated in the advertisement.

Article 20 Where a real estate advertisement involves the information on appraisal of the real estate, the advertisement shall indicate the appraisal agency, the appraiser and the time of appraisal; where other data, statistics, excerpts or quotations have been used, they shall be authentic and accurate, with their sources indicated.

Article 21 Where a real estate advertisement is released in violation of the Provisions, and the Advertising Law as well as other laws and regulations have relevant provisions, punishment shall be imposed in accordance with the provisions of relevant laws and regulations; if the laws and regulations have no such provisions, then the accountable advertiser, advertising operator and advertisement publisher shall be imposed a fine of not more than three times the illegal gains to the extent of CNY30,000; if there are no illegal gains, a fine of not more than CNY10,000 shall be imposed.

Article 22 The Provisions shall enter into effect as of February 1, 2016. The Interim Provisions on the Release of Real Estate Advertisements promulgated by Order of the State Administration of Industry and Commerce No.86 on December 3, 1998 shall be repealed simultaneously.