Caixin Online reported that, with the coming of the traditional real estate sales season in September 2010, housing sales in big cities across China have started to rise.
Between August 30th 2010 and September 5th 2010, the number of housing transactions in Beijing has risen to 2,000, the highest since May. New apartment sales in Shenzhen went up to 852 during the week, a record since the government launched adjustment policies in April. In Shanghai, residence sales topped 200,000 square meters in a week.
According to data from the Beijing Real Estate Transaction Management, between August 30th 2010 and September 5th 2010, commercial housing transactions reached 1,979, up by 30.45% WoW. The total area came up to 225,500 square meters, rising 14.18% WoW. On the other hand, average sales prices were at CNY 20,525 per square meter down by 8.56% WoW.
By the end of August 2010, Beijing's housing inventory stood at 98,556 units, up by 5.1% MoM and reportedly the highest since the start of the year. Furthermore, Beijing is set to launch more than 40 new property projects in September 2010.
The housing market in Shenzhen also reported impressive sales figures since late August, boosted by the State Council's approval of Shenzhen's city development plans.
According to the municipal government's land and resource authority, new apartment sales in Shenzhen reached 852 during the first week of September up by 5.1%. The average sales price was at CNY 22,204 per square meter up by 12.8% WoW and marking a record weekly high since May 2010.
Transactions of previously occupied homes in Shenzhen also rose by 25.9% WoW to 4,293, with an average price of CNY 17,963 per square meter, up by 9.2% WoW. In August 2010, Shenzhen sold 2,971 new apartments, up by 50% MoM. In part triggered by market speculations of possible tax adjustments, sales of previously occupied homes reached a yearly high of 13,279 units in August with current prices ending a three month decline.
Commercial housing sales in Shanghai topped 242,000 square meters in the first week of September, up by 39% WoW. According to China Business News, the average housing price in Shanghai for the week was CNY 22,366 per square meter up by 5% WoW and marking a third straight week rise. Projects with prices higher than CNY 30,000 per square meter accounted for 15% of the total sales as compared to 10% in early August.
Another major city, Guangzhou, reported 7000 housing sales contracts in August, up by 60% MoM. Housing price also rebounded by 6.4%
China's property market has been warming up since August. With both sales and prices starting to rise, however, speculations have surfaced about whether further government control measures will be launched.
The official state publication People's Daily stated on August 31st 2010 that the current period of growth is key to the adjustment of China's housing market, and as such, further steps would be need to be enacted if previous policies prove insufficient.
(Sourced from www.caing.com)
