Beijing's move to push property prices down is starting to show results, with the cost of a new home in major cities falling last month for the sixth consecutive month.
The central government began efforts to cool the red-hot property market two years ago amid concerns that home ownership was getting beyond the reach of average people.
Figures released by the National Bureau of Statistics show that prices fell in March in 46 of the 70 cities reviewed, up from 45 in February. Prices were stable in 16 cities and rose less than 0.2 per cent in eight cities.
First-tier cities including Beijing, Shanghai, Guangzhou and Shenzhen were among those that saw their prices decline for six consecutive months.
Alan Jin, an analyst at Mizuho Securities Asia, said prices would continue to fall for a few months.
'Developers will continue to have a tough time ahead, though most likely it will not be as bad as late last year,' Jin said.
'But developers are also adapting within the tight policy framework. They have set conservative sales targets, scaled back construction activities and cut prices. A number of Hong Kong-listed developers have tapped the capital market, while relatively smaller plays are having a tougher time than the big ones.'
