Data for China's December new home prices from China’s National Bureau of Statistics.
down 0.25% m/m
- prior -0.25% m/m
down 1.5% y/y
- prior -1.6%
- 55 of 70 large and medium cities in China saw the sales price of new houses drop on a monthly basis in December, up from 51 in November
On Friday I posted on further support for the sector:
- China will loosen restrictions on Chinese developers' financing with changes to the "Collective management system for real estate loans” on banks and also on the "Three Red Lines" policy.
- China will add another 150 bln yuan in special loans for securing project deliveries and will issue further policies to support housing rental market including a 100bn yuan housing rental loan plan.
These are significant measures and add to already announced support.
The property sector is critical domestic economic driver. As the country emerges from COVID and the supportive policies begin to impact house prices, and the sector more broadly, will recover.