Legal analysis: you can buy a house with a loan. There is no rule that people who have been in prison can't borrow money to buy a house, but it depends on why they are in prison. If it is because of credit problems, it may be more difficult.

Legal basis: Article 11 of the Interim Measures for Personal Loans in People's Republic of China (PRC) shall meet the following conditions: (1) The borrower is a People's Republic of China (PRC) citizen with full capacity for civil conduct or an overseas natural person who meets the relevant provisions of the state; (2) The purpose of the loan is clear and legal; (3) The amount, duration and currency of the loan application are reasonable; (4) The borrower has the willingness and ability to repay; (5) The borrower's credit status is good and there is no significant bad credit record; (6) Other conditions required by the lender.