In fact, there is a case that I think can be used as a reference for such incidents. It is a case in the second instance of Jiaxing Intermediate People's Court. 20 14 Mr Xu from Shanghai bought a villa in a building in Jiaxing and borrowed 3.92 million yuan from the bank. Later, the developer could not deliver the house on time due to financial problems, which led to the unfinished property. Later, the developer submitted bankruptcy liquidation to the court, and Mr. Xu stopped paying the monthly payment because there was no hope of repossession. Later, he was taken to court by the bank. At the first trial, Mr. Xu should pay off the arrears in one lump sum, and at the second trial, he should hand them over to the court.

The court of second instance held that "the developer was unable to deliver the house to Mr. Xu due to bankruptcy liquidation procedures, which led to the termination of the commercial housing sales contract. Mr. Xu advocates the termination of the Individual Housing Loan and Guarantee Contract, which is justified and should be supported, so the developer should bear the repayment responsibility of the remaining loans.

It is based on the second paragraph of Article 21 of the Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trial of Disputes over Commercial Housing Sales Contracts: If the commercial housing sales contract is confirmed invalid or revoked or dissolved, and the commercial housing secured loan contract is also dissolved, the seller shall return the principal and interest of the housing loan and the purchase price received to the secured party and the buyer respectively; Moreover, Article 38 of the Individual Housing Loan and Guarantee Contract stipulates that after the loan is issued, any dispute between the borrower or mortgagor and the seller or a third party on the quality, price, ownership, conditions or other matters of the property has nothing to do with the lender.

In my opinion, this is a landmark court decision, which should be a great demonstration for this wave of loan suspension. Who will pay back the unfinished building if the buyer doesn't pay back the money? Looking for a developer, of course. After all, there are two "pits".