Reuters with the comments from ratings agency Fitch
Housing sales in China reached a record CNY7.3trn in value in 2015, owing in part to price rises in Tier 1 cities, and Fitch Ratings expects sales growth to continue this year
The sales growth, in conjunction with de-stocking and reduced home construction expenditure, resulted in homebuilders' financial profiles strengthening in recent quarters.
The prospects for continued improvement in financial profiles is limited in 2016 as high land prices continue to squeeze margins and falling housing completions prompt renewed growth in construction expenditures
