Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Dwelling Sales Prices Were Cut down by 0.6% YOY in China this May

www.shcri.com -- In May 2009, the dwelling sales prices were cut down by 0.6% YOY in 70 large and medium-sized cities in China, the reduction rate decreased by 0.5 percentage points compared with April and the dwelling sales prices were up by 0.6% at link relative ratio, the growth rate increased by 0.2 percentage points compared with April. From January to May 2009, the sales areas of the commercial buildings were 246.44 million m2 in China, up by 25.5% YOY, in which the sales areas of the commercial residential buildings were up by 26.7%; the sales areas of the office buildings were down by 1.8%; the sales areas of the commercial operation buildings were increased by 18.3%. From January to May, the sales amounts of the commercial buildings were 1.1389 trillion Yuan, up by 45.3% YOY, in which the sales amounts of the commercial dwellings were up by 49.0%; the sales amounts of the office buildings and commercial operation buildings were increased by 11.6% and 27.9% respectively. In May, the prosperity index of the national real estate was 95.94, up by 1.18 points compared with April. The successive property price decline changed partial public attitudes towards the building market and propelled the increases of the sales volumes. Although the property prices were still dropping in May, the reduction rate was narrowed down compared with April. The sales prices of the commercial dwellings were decreased by 1.5%, the reduction rate decreased by 0.5 percentage points compared with April, in which the sales prices of the common commercial dwellings were down by 0.9% and the sales prices of the high-quality dwellings were down by 3.6%. Compared with April, the sales prices of the affordable buildings held the line and the sales prices of the commercial dwellings were up by 0.7%, in which the sales prices of the common commercial dwellings were up by 0.8% and the sales prices of the high-quality dwellings were up by 0.6%.

 

The five cities with the largest reduction rate are as follows: down by 6.9% in Shenzhen, 6.3% in Shijiazhuang, 5.6% in Guangzhou, 5.6% in Xuzhou and 5.5% in Guilin. Compared with that in last month, the sales prices of the newly-built dwellings with the largest growth rate are concentrated in the following five cities: up by 3.8% in Wenzhou, 2.1% in Xiamen, 1.7% in Shenzhen, 1.5% in Jinhua and 1.5% in Changchun.

 

Under the circumstances of the global and Chinese economy still facing the challenges from the international financial crisis, it is predicted that it is impossible for the property prices to increase greatly in China in 2009.

 

Source: China Research and Intelligence

If you'd like to copy or quote this article, please keep the source information

 

Get more details, please visit: http://shcri.com/reportdetail.asp?id=271