According to the current policy: The standard for "second house" has become stricter. The new policy recognizes "house" but not "loan"

No matter whether the mortgage applicant has applied for a mortgage before, as long as If members of the home-buying family (including the borrower, spouse, and minor children) already own a home, any additional purchases will be considered a "second home."

The Ministry of Housing and Urban-Rural Development, the People's Bank of China, and the China Banking Regulatory Commission have issued notices to regulate the identification standards for second homes in commercial personal housing loans. The notice stipulates that the number of housing units for residential households in commercial personal housing loans should be determined based on the number of complete housing units actually owned by members of the family to be purchased (including the borrower, spouse and minor children). This means that regardless of whether a mortgage applicant has applied for a mortgage before, as long as his or her family owns one house, the purchase of a second house with a loan will be considered a second house.