China is experiencing a significant downturn in its real estate market, with new data revealing a continued decline in home prices across the country. According to the National Bureau of Statistics (NBS), 56 of 70 large and medium-sized cities saw month-on-month drops in new home prices, down from 62 in December 2023. Similarly, 68 cities registered price declines for second-hand homes, down from 70 the previous month. This trend is seen as a challenge for the Chinese government, which is facing increasing pressure to stabilize the market. Despite policy support aimed at reviving the sector, the average price of homes in these 70 cities, considered a proxy for the national market, has sharply fallen. The situation has led to the emergence of abandoned "ghost towns" and a significant blow to market confidence, with experts like Liu Yuan from Centaline predicting that the bottom for housing prices is far from being reached and "It will not happen in 2024." Additionally, the crisis is worsening, with the 70-city new home price index showing a 1.24% decline in January, compared to a 0.89% drop in December. Existing home prices have seen even steeper falls. However, there are first signs of improvement, as both new and existing home prices declined at a slower pace in January, the first positive change in 10 months. Furthermore, home mortgage rates in China's major cities have seen the biggest one-month drop since 2019, indicating potential relief for homebuyers.
🇨🇳 China's average property price fell further in January Goldman Sachs Bottom line: **The National Bureau of Statistics’ 70-city house price data suggests the weighted average property price in the primary market fell sequentially in January after seasonal adjustments.… https://t.co/N6iUgUNmsQ
#Home mortgage #rates in #China's major cities posted biggest one-month drop since 2019 in Feb- research https://t.co/9P45w6jgIS
China's new home prices extend declines despite policy support https://t.co/YZabN1sheh https://t.co/tQKHa5y0jj
MyPOV: a big house of cards. China Home Prices Slide, Increasing Pressure on Beijing https://t.co/QEiu6Xchir
"China Home Prices Slide, Increasing Pressure on Beijing" https://t.co/Zyx35sLmAa https://t.co/yrDRAg08B7
China's housing crisis is getting worse with 70-city new home price index down 1.24% in January, while December was down only 0.89% Existing home prices have been falling even more...
🏘️Housing Inventory Hovering Near All-Time Lows A mere 1 million units were available in Dec. (down 10%). You don’t have to be the Frank Lloyd Wright of economics to understand abnormally low supply keeps home prices high. From @HedgeyeDJ's Early Look: https://t.co/UgMDs5r4io
When you build "luxury" new apartments in big numbers, the influx of supply puts downward pressure on rents at all price points -- even in the lowest-priced Class C rentals. Here's evidence of that happening right now: There are 12 U.S. markets where Class C rents are falling at… https://t.co/HlMjAYRR3X
#China’s #home prices fell at slower pace in Jan after stepped-up policy support https://t.co/eu7CRawFRz
WSJ: China Home Prices Slide, Increasing Pressure on Beijing https://t.co/g6ITtizyA9
In year/year terms, existing single-family home sales continue to trend in better direction … still negative as of January, but a marked improvement from lows of this cycle https://t.co/60qhyGKLdq
China Home Prices Slide, Increasing Pressure on Beijing - WSJ https://t.co/3ePRHLMJlS
China’s home prices declined at a slower pace for both new and existing-units in January, the first signs of improvement in 10 months. https://t.co/sYdGKEACWP
China’s real estate slump has dealt a major blow to confidence https://t.co/yRepxioeGQ via @WSJ “The bottom for the housing prices is far from being reached,” said Liu Yuan, head of property research at Centaline. “It will not happen in 2024.”
CNBC: #China markets flat as investors digest property price data Data showed sales prices of newly built commercial housing in first-tier cities fell 0.3% month-over-month in Jan, w/declines narrowing by 0.1 percentage points from the previous month. https://t.co/rHDh2fTWqL
China’s home price slide may have passed its worst point https://t.co/dtUb6m1E0L
China’s real-estate downturn is getting worse. The latest bad news: A sharp drop in the average price of a home in 70 big cities in mainland China, a proxy for the national market. https://t.co/QZQpWIejCs https://t.co/QZQpWIejCs
WSJ’s Jonathan Cheng traveled to an abandoned “ghost town” to see the challenge China’s real-estate slump poses for the government. https://t.co/TOyPb2gtEc https://t.co/TOyPb2gtEc
Sales of previously occupied U.S. homes rose in January as homebuyers were encouraged by easing mortgage rates and a modest pickup in properties on the market. https://t.co/749tIx5SyW
China’s real-estate downturn is getting worse. The latest bad news: A sharp drop in the average price of a home in 70 big cities in mainland China, a proxy for the national market. @caocli @ByXiaoXiao https://t.co/X95S57XMvd https://t.co/X95S57XMvd
Prices are falling in mainland China. That’s a boon for people living in Hong Kong, but a big problem for the city’s businesses. Read in Chinese: https://t.co/mJC9GolgHp https://t.co/mJC9GolgHp
1/2 Xinhua: "The NBS said 56 of 70 large and medium-sized cities saw month-on-month drops in new home prices, down from 62 in December 2023. 68 registered price declines for second-hand homes, compared to 70 in the previous month." https://t.co/mwLptd8dwR