China’s new home prices slow 17-month decline after support measures kick in
Prices across 70 cities fell for the 17th month in October, but at a slower pace, suggesting support measures may be stabilising the market
China’s new home prices fell for the 17th month in October, but at a slower pace, suggesting that Beijing may be one step closer to stabilising the market after a slew of support measures.
Across 70 mainland cities, new home prices dropped 0.5 per cent from September, the slowest decline in seven months, according to data released by the National Bureau of Statistics on Friday.
Prices fell 6.2 per cent on a year-on-year basis, slightly worse than the 6.1 per cent year-on-year decline in September.
In the four tier-1 cities – Beijing, Shanghai, Guangzhou and Shenzhen – prices fell 0.2 per cent month on month in October, narrowing from a 0.5 per cent decline in September, the data showed.
Tier-2 cities such as Tianjin, Wuhan and Chengdu, and tier-3 cities such as Dali, Xuzhou and Huizhou, saw a 0.5 per cent drop in new home prices last month, compared with 0.7 per cent in September.
Prices of second-hand homes in tier-1 cities gained 0.4 per cent on average in October after a 1.2 per cent drop in September – reversing a 13-month decline.
Tier-2 cities saw prices for second-hand homes fall 0.4 per cent, versus 0.9 per cent the previous month, while prices in tier-3 cities dropped 0.5 per cent, compared with 0.7 per cent the previous month.
