China's Feb Second-Hand Home Prices Narrows for Seventh Straight Month, Report Says
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 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.
- This modest price drop may be insufficient to revive investor confidence in China's ailing property market, which has been battered by years of regulatory crackdowns and a slowing economy.
- How will the Chinese government balance its efforts to stimulate the property sector with concerns over debt sustainability and the risk of further asset bubbles?