China's real estate market saw an overall increase in market activity, with increased second-hand home transactions and narrowing price decline in October, boosting market confidence and economic outlook.
The 100-City Price Index of China Real Estate Index System showed that since the implementation of a comprehensive policy package at the end of September, the volume of second-hand housing transactions in key cities has significantly rebounded in October.
Last month, 17,367 second-hand residential units were sold in Beijing, marking a month-on-month increase of 30.8 percent and a year-on-year increase of 63.0 percent, the highest since April last year. The cumulative transactions from January to October increased by 4.2 percent compared to the same period last year.
In October, 21,779 second-hand residential units were sold in Shanghai, reflecting a month-on-month increase of 56.2 percent and a year-on-year increase of 70.0 percent. The cumulative transactions from January to October increased by 10.0 percent compared to the same period last year.
In the same period, 6,118 second-hand residential units were sold in Shenzhen, achieving a month-on-month increase of 91.7 percent and a year-on-year increase of 120.5 percent, the highest since April 2021. Cumulative transactions from January to October increased by 50.6 percent year on year.
"From January to October, the cumulative decline in sales area and sales value of newly constructed commercial housing across the country narrowed by 1.3 and 1.8 percentage points respectively compared to the period from January to September. Notably, the improvement in October was the largest seen this year," said Fu Linghui, the spokesman.
Last month, the sales prices of newly built commercial housing in first-tier cities fell by 0.2 percent month on month, with the price decline narrowing by 0.3 percentage points compared to the previous month. Among them, prices in Shanghai and Shenzhen rose by 0.3 percent and 0.1 percent respectively, while prices in Beijing and Guangzhou fell by 0.7 percent.
The sales prices of second-hand homes in first-tier cities increased by 0.4 percent month-on-month, turning positive after a 1.2 percent decline in the previous month, which marked the first month-on-month increase in 13 months. Specifically, prices in Beijing, Shanghai, and Shenzhen rose by 1.0 percent, 0.2 percent, and 0.7 percent respectively, while prices in Guangzhou fell by 0.4 percent.
In October, the sales prices of newly built commercial housing in second-tier cities fell by 0.5 percent month on month, with the decline narrowing by 0.2 percentage points compared to the previous month. The sales prices of second-hand homes in second-tier cities fell by 0.4 percent month on month, with the decline narrowing by 0.5 percentage points.
In third-tier cities, the sales prices of newly built commercial housing fell by 0.5 percent month on month, with the decline narrowing by 0.2 percentage points, while the sales prices of second-hand homes fell by 0.6 percent, with the decline narrowing by 0.3 percentage points.
China's housing market shows positive signs in October
