(Yicai Global) Sept. 25 -- The national average interest rate for loans provided to first-time house buyers in China reached an all-time high of 5.12 percent in August, online news outlet YNET reported on Sept. 25, citing financial data provider Rong360.

The new average, equal to 1.04 times the benchmark interest rate, marks the first time the figure has gone above 5 percent. The rate, which has now increased for eight consecutive months, was up 15.35 percent on August last year when it was 4.44 percent.

Of the 35 cities monitored by Rong360, Zhengzhou, capital of China's central Henan province, had the highest rate for first-time buyers at 5.39 percent, followed by the northern cities of Harbin and Shijiazhuang.

The city with the lowest rate was Shanghai at 4.83 percent followed by Zhuhai, in south China's Guangdong province, and Haikou, in southern Hainan province, both with 4.9 percent.

The average interest rate for first-time home buyers in Beijing is 5.12 percent, while Guangzhou and Shenzhen, both in Guangdong, saw average rates of 5.13 percent and 5.04 percent, respectively.

Preferential interest rates on housing loans among banks almost disappeared in August. Last year these loans accounted for 85.93 percent of all loans, but in August only 3.56 percent were subject to the rate, down from 4.12 percent on a monthly basis and from 13.65 percent in the second quarter of this year.

Banks expect rigid demand seen in the second-hand housing market to ease due to new policies, Rong360 says. The report suggested rapid growth is unlikely because of stabilizing interest rates.