China home prices fall at faster pace in December: private survey
CHINA’S home prices fell at a faster pace in December, according to a private survey on Sunday (Jan 1), reflecting persistently weak demand amid rising Covid-19 cases despite a slew of support measures.
China’s property market crisis worsened in the summer of 2022, with official data showing home prices, sales and investment all falling in recent months, adding pressure on the faltering economy.
Home prices in 100 cities fell for the sixth month in a row in December, declining 0.08 per cent from a month earlier after falling 0.06 per cent in November, according to the survey by China Index Academy (CIA), one of the country’s largest independent real estate research firms.
Among the 100 cities, 68 cities posted a fall in monthly prices, compared with 57 in November, the survey showed.
China has in recent weeks ramped up support for the industry in a bid to relieve a long-running liquidity squeeze that has hit developers and delayed completion of many housing projects, further undermining buyers’ confidence. The moves have included lifting a ban on fundraising via equity offerings for listed property firms.
The property sector has also got a slight boost after Beijing abruptly dropped its strict zero-Covid policy in early December, which could lure consumers back to showrooms. But the coronavirus is now spreading largely unchecked and likely infecting millions of people a day, according to some international health experts.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
“Real estate policies may continue to maintain an accommodative tone with room for policy easing on the supply and demand side in 2023,” said the real estate research firm, adding: “The housing market is expected to stabilise gradually next year.” REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Reits & Property
Keppel DC Reit reports 13.7% lower Q1 DPU of S$0.02192 amid loss allowances
Higher gross rental income, lower expenses boost CICT’s Q1 NPI by 6.3%
Valuations for office Reits lag counterparts, but re-rating may face uncertainty
Keppel Pacific Oak US Reit posts 8.8% fall in distributable income for Q1
Keppel DC Reit to divest Sydney data centre for A$174 million
Sabana Reit’s occupancy falls to 83%; more staff resign from manager amid internalisation uncertainties