The demand for coastal houses has pushed up Chinese real estate prices


New home prices in China rebounded in April due to warming demand for housing in small coastal cities.

The rise in new home prices in China is mainly due to rising demand in Grade 2 and 3 cities on the East and South coast of China. Documentary photo: AFP

According to a private survey by China Index Academy – one of the largest independent real estate research firms in China – announced on May 1, new home prices in 100 cities in China in April. increased by 0.23% MoM, higher than the rate of 0.2% in March.

The rise in new home prices in China is mainly due to rising demand in Grade 2 and 3 cities on the East and South coast of China.

Meanwhile, the housing market in big cities has cooled down due to tightened measures to prevent epidemics. Specifically, the rise in new home prices in 10 major cities, including Beijing and Shanghai, cooled down in April due to tightening epidemic prevention measures.

“As major cities in the Yangtze River Delta and Pearl River Delta tighten their anti-epidemic measures, housing demand is pouring in,” said Cao Jingjing, research director at China Index Academy. level 3 and 4 towns with large population and promising industries “.

The old Chinese home market is often less regulated than the new home market. In April, the average old house prices in China rose 0.5% from the previous month, compared with a rise of 0.44% in March.

April also recorded the government of dozens of cities in China strongly implementing measures to deal with speculation in the real estate market, along with steps to cool down house prices set by real estate developers. and stop real estate agents from pushing old home prices too high.

According to Reuters, China’s top leaders on April 30 also confirmed that they will boost the supply of affordable housing and rental housing, and will prevent speculation in the markets. Real estate schools vary, including educational urban housing.

Meanwhile, another survey by Chinese property data provider Zhuge House Hunter also showed that China’s average rent in April rose the fastest since February 2020. as housing demand in tier 1 cities increased as the world’s second largest economy gradually stabilized after the Covid-19 shock.