Housing prices in China are rising at the fastest pace in eight months in April. As in many other markets around the world, restrictions in China have failed to reduce the enthusiasm of buyers, writes Bloomberg.
New property prices in 70 Chinese cities, excluding state-subsidized housing, rose 0.48% last month from March. In the third month of the year, prices rose by 0.41% according to Chinese statistics. Secondary market prices jumped by 0.4% – the same rate as in the previous month.
Investors see real estate as a shield against global inflation. Home sales have doubled since the beginning of the year compared to the same period in 2019 in cities such as Shenzhen, Shanghai, Hangzhou and Nanjing, according to data from China Real Estate Information.
Last week, heads of state hinted at introducing a long-delayed property tax across the country in a bid to cool the market. In late April, Chinese President Xi Jinping said the homes were “for living, not speculation.”
The growth of prices is accelerating in large and small cities due to the growth of projects of entrepreneurs. Property sales increased by 35% on an annual basis.
