(Yicai) March 14 -- Hangzhou has ended restrictions on the buying second-hand homes that were introduced in 2011 in a bid to reinvigorate the Chinese city’s property market.

The qualifications of buyers seeking to purchase pre-owned homes no longer need to be reviewed, the capital city of Zhejiang province announced in a document today. Previously, buyers needed either a local household registration or tax records.

The move marks a big shift for Hangzhou, a property hotspot that is home to Alibaba Group Holding and many other tech and internet businesses. It had maintained tight buying curbs for over a decade and its restrictions were second only to the four first-tier cities of Beijing, Shanghai, Guangzhou, and Shenzhen for strictness.

Hangzhou also announced today that it will relax its value-added tax policy on pre-owned homes. Individuals who sell their homes after two years of buying them will not need to pay VAT, whereas previously the exemption only kicked in for sales of non-primary residences after five years.

The city is stepping up efforts to build affordable housing. Starting this year, the city will build no fewer than 6,000 such units for sale. Moreover, it will double down on urban renewal and improve the compensation and resettlement of the relocated.

The city, which has more than 12.5 million residents, will also fully support the financing and delivery of real estate projects under construction, ensuring the legitimate rights and interests of home buyers, it added.

Editor: Emmi Laine