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China Daily Website

Residential property sales climb in major cities

Updated: 2012-05-29 20:26
By Wu Yiyao in Shanghai ( chinadaily.com.cn)

More than 60 percent of 40 polled cities around China reported mounting sales of residential properties in May, marking the highest sales record since price-control policies were strengthened at the beginning of 2011.

The report by China Index Academy, a property data and consultancy service, said 25 cities witnessed a year-on-year sales growth, with Suzhou in Jiangsu province reporting an increase in sales of nearly three and a half times.

In Beijing, some 10,000 apartments were sold by May 26, the highest in 16 months.

In Wenzhou, Zhejiang province and Haikou, Hainan province, housing sales doubled those of May 2011.

"I'm buying this house simply because I need housing - I'm getting married soon," said Chen Songpin, a buyer in Wenzhou.

"You can tell that it is not a good time for investment in real estate property given the strengthened policy," said Chen.

Several local government housing-purchase policies have been approved by China's central government. Local governments around the nation are making efforts to boost economic growth by spurring housing sales, according to Xue Jianxiong, an analyst with China Real Estate Information Corp.

In Shanghai, sales of secondhand properties returned to their 2010 highs with prices about 20,000 yuan per square meter near the inner ring, said Zhang Hailiang, Xinyuan Property Agency in Zhabei district.

"In April we could feel that people were expecting a lower price, but now as sellers of secondhand houses decrease, buyers worry that in a short time there will not be enough available houses," said Zhang.

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