People visit a residential sales office in Shandong province, China December 15, 2022. House prices in 100 cities fell for the sixth consecutive month in December, a Chinese private survey showed.
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Home prices in China fell at a faster pace in December, a private survey showed on Sunday, reflecting still weak demand amid rising Covid-19 cases despite a slew of support measures.
The crisis in China’s property market has deepened this summer, with official data showing that house prices, sales and investment have all fallen in recent months, adding pressure to the faltering economy.
House prices in 100 cities fell for the sixth consecutive month in December, down 0.08% from the previous month after falling 0.06% in November, according to the China Index Academy survey, one of the largest independent real estate search companies in the country.
Among the 100 cities, 68 cities posted lower monthly prices, down from 57 in November, according to the survey.
In recent weeks, China has stepped up support for the industry in a bid to ease a long-running cash crunch that has hit developers and delayed the completion of many housing projects, further undermining buyer confidence. The measures included lifting the ban on raising funds through equity offerings for listed property companies.
The real estate sector 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 virus is now spreading largely unchecked and likely infecting millions a day, some international health experts say.
“Housing policies could continue to maintain a dovish tone with room for policy easing on the supply and demand side in 2023,” the property research firm said, adding that “the housing market should stabilize gradually next year.
