BEIJING (Reuters) – China’s new home prices edged down in June from the month before, falling for a second straight month, with home sales likely to remain subdued in summer, when demand is typically low, according to a private survey
In June the average price of new residential buildings in cities fell by 0.%. According to data from the China Index Research Institute on Saturday, the decline was the same as that in May same.
Housing prices fell in 45 cities.
In the first half of the year, the average price rose by 0.01% year-on-year.
“In the first quarter, pent-up demand led by market confidence was released intensively, gradually returning, and prices appear to be recovering,” the real estate research firm said.
“In the second quarter, the pace of market recovery slowed and house price increases lacked momentum,” it added.
China’s real estate sector has been mired in a deep debt crisis for the past two years – initially sparked by government measures to rein in ballooning debt – with many developers defaulting as they struggle to sell apartments and raise capital Payment.
Investors’ positive sentiment towards the sector was short-lived, although local governments have rolled out hundreds of measures to support the sector, with the lifting of draconian COVID-19 restrictions in December also playing a role of.
China Index Research Institute said, “If policy support is limited, homebuyer confidence will be difficult to improve.”
Real Estate Sector accounts for about a quarter of China’s economy.
01 01
