BEIJING (Reuters) – The average price of second-hand residential properties across 100 Chinese cities fell by 0.4% month-on-month in February, according to a report by a Chinese real estate research institute, narrowing for the seventh straight month.
Following the implementation of fresh policy support late last year aimed at giving the property sector a boost, a “Mini Spring” rally is on the cards for March in major urban centres, the China Index Academy wrote in the report published on its official WeChat social media account.
Prices of second hand homes fell 7.3% year-on-year on average in February, the report said, while the average price of new builds in the same 100 cities increased by 2.7%.
“With post (Lunar New Year) holiday property transactions in major urban centres and the land market picking up, coupled with policy support and the traditional marketing season, the property market is expected to continue to stabilise over March with some major urban centres potentially seeing a ‘Mini Spring’ rally,” the report said.
A separate report from the same institute showed the sales of the top 100 Chinese real estate companies increased an annual 17.3% in February, however cumulative sales for January and February fell by 5.9% year-on-year.
“The release of housing demand has been promoted in many regions through the organisation of property expos, home-buying festivals, and the introduction of high-quality ‘good homes,’ helping sustain the stabilisation trend in the housing market,” the report said.
(Reporting by Joe Cash)
