The second -hand house prices fell by 0.76% in August compared to the previous month, after a decrease of 0.77% in July, and fell by 7.34% on an annual basis, according to China Index Academy, one of the largest research agencies in the country.
New-home prices rose 0.2% month-on-month, and accelerated somewhat of a profit of 0.18% in July.
Lists of second-hand houses remain high, and “price-for-volume” deals continue to dominate, the company said.
“With authorities aimed at ‘stopping falls and repairing stability’, a new round of support policy is expected to be rolled out faster,” said it.
It added that the growing market expectations for a reduction of the American Federal Reserve in September could increase the space for domestic monetary relaxation. The ownership sector of China has been under acute tension since 2021, when a legal clamp on developers led leverage to the liquidity crises at large companies, which made projects unfinished, depressing depressing and causing a wave of debt felts. China has lowered interest rates and rolled out incentives for buyers of houses, but lukewarm consumer confidence and oversupply in some cities have flattened the impact.
The official PMI of construction released on Sunday fell to 49.1 in August, the lowest level at record outside the Pandemie, pointing to fading support of fiscal stimulus and continuous weakness in the construction of real estate.
In August, Beijing and Shanghai facilitated the home purchases in some districts in the suburbs.
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