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Latest figures bring no relief to homebuyers
[ 2008-01-18 13:42 ]

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Property prices in 70 large- and medium-sized cities last month rose 10.5 percent year-on-year belying people's expectation of a slowdown in the realty sector, according to National Development and Reform Commission (NDRC) figures, released yesterday.

Despite hopes of the property market reaching a turning point, the year-on-year growth rate in December was the same as that in the previous month, though transactions in most cities saw a big fall.

"A growing number of housing units began offering discounts from the end of December. So January could reflect the falling trend," head of CB Richard Ellis (Beijing branch) research department Qin Xiaomei said.

Prices of new apartments last month rose 11.4 percent year-on-year, but the growth rate dropped 0.8 percentage points from November. Urumqi in Xinjiang, Beihai in Guangxi and Beijing led the price hike, with 25.3 percent, 19.3 percent and 17.5 percent.

"Since the economy remains strong, we don't see any reason for a big drop in the property market," head of Jones Lang LaSalle's research wing Anna Kalifa said. "But there could be ups and downs in the market this year, and we are expecting a fall in transaction for another six months."

The growth rate of China's property market for 2008 will be 12-13 percent, the official of the leading global real estate services firm said. "Despite the temporary price adjustment, the long-term trend remains positive."

Prices of pre-owned houses rose 11.4 percent last month, 2.1 percentage points more than November. Urumqi topped the price rise list, with a growth rate of 24.2 percent.

"But I'm sure the property price growth rate is set to drop this year because more low-rent housing units and affordable apartments will be on sale," Qin said.

"The government's policy to restrain people from buying a second house and continued mortgage rate hikes are likely to check speculation."

Questions:

1. In 70 large- and medium-sized cities last month did property prices rise or decrease?

2. What good news for homebuyers occurred from the end of December?

3. What is the estimated growth rate of China's property market for 2008?

Answers:

1.They actually rose 10.5 percent

2.A growing number of housing units began offering discounts.

3.It will be 12-13 percent.

(英語點津 Celene 編輯)

About the broadcaster:

Brendan is an Australian who has been involved in education and writing for over a decade. He has published most recently for the Tiger Airways Inflight magazine, The Bangkok Post, The Taipei Times and Japan's Hiroshima Outside Magazine. He holds a Masters Degree in Community Development and Management and has resided in China for over 3 years.

 

 
 
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