BOFIT Viikkokatsaus / BOFIT Weekly Review 2017/31
The National Bureau of Statistics reports that prices of existing apartments in 70 large cities saw an average rise of 10 % y-o-y in June with no signs of an overall slowdown in the rate of price increase. Several major metropolises that had earlier witnessed soaring apartment prices, however, saw some levelling off. For example, official figures show the rise in prices came to a halt in Shanghai and Shenzhen in late 2016, even if June apartment prices were still up 10 % y-o-y in Shanghai and 4 % in Shenzhen. Apartment prices in Beijing fell in June, but were still 16 % higher than in June 2016. In Guangzhou, where housing prices are up over 20 % from a year ago, prices continue to rise rapidly. The NBS sampling from 66 other large cities shows the rise in housing prices overall continues at about 9 % a year.
Many Chinese cities over the past year have sought to restrict apartment sales to cool their overheated housing markets. The new restrictions have hit many apartment buyers and led to minor demonstrations in Beijing, Shanghai and elsewhere. Several cities have already abandoned some of the restrictions.
Prices of existing apartments in large Chinese cities
Sources: NBS, CEIC, BOFIT.