Gov't maintains property control policy

These fresh rules have come on the heels of a rebound in China's real estate market in the past month. To keep runaway property prices in check, the government has taken an array of measures in recent years. Now it's looking at extending a pilot property tax program.

The government is again putting the leash on the real estate sector after December marked the third consecutive month of higher new home prices.

The central government stepped in on Wednesday to restate its determination to "strictly implement and improve housing market tightening measures, and ensure that the policies remain steady."

Premier Wen Jiabao, presiding over a State Council meeting, said China is undergoing rapid urbanization and there is no easy short-term solution to the shortage of housing in the cities. Because of that, he said the government would continue its policy of restraining speculative home purchases while supporting demand for personal use."

The policy package announced on Wednesday includes extending a pilot property tax program which has been tested in Shanghai and Chongqing.

Meanwhile, the government promised to accelerate construction of government subsidized housing. It aims to finish construction of 4.7 million affordable housing units and start construction of another 6.3 million units this year.

Government measures to control prices have ranged from higher interest rates for second-home mortgages to banning the purchase of properties by non-residents.