By: Yawen Chen
BEIJING: Average new home prices in China’s 70 major cities rose 0.2 percent in August from a month ago, slowing from an 0.4 percent gain in July, as policymakers battle to rein in an overheated market.
New home prices rose 8.3 % in August versus a year ago, slowing from a 9.7 % increase in July, Reuters calculated from National Bureau of Statistics (NBS) data out on Monday.
China’s almost two-year-long property boom hit fever pitch last August when prices jumped 1.5 percent in a month.
While regulators have intensified their crackdown on property speculation in more than 45 major cities, the buying frenzy came to smaller centres this year as local governments offered cheap credit and imposed few restrictions in the hope of clearing a housing glut.
But many analysts still expect the sector to gradually lose momentum over the rest of the year in the face of continuous policy tightening and an official financial deleveraging campaign.
Source: Reuters