On February 23, the housing price data of 70 cities in January released by the National Bureau of Statistics showed that the real estate market was generally operating steadily. The sales price of commercial residential buildings in all tiers of cities increased month-on-month, and the year-on-year growth rate has increased and decreased.
Specifically: Among the first-tier cities, the price of newly built commercial residential buildings in Beijing, Shanghai, Guangzhou, and Shenzhen increased by 0.6% month-on-month, an increase of 0.3 percentage points from the previous month, with Guangzhou leading the increase; the price of second-hand residential buildings in Beijing, Shanghai, Guangzhou and Shenzhen rose by 1.3 month-on-month %, the increase was 0.7 percentage points higher than the previous month, with Shenzhen leading the increase.
Among China’s 70 cities, 31 second-tier cities and 35 third-tier cities saw price increases for new and second-hand houses. Xu Xiaole, the chief market analyst of the Shell Research Institute, told the Caijing reporter that the warming up of the market in January was driven by funds and expectations: funds spilled over to the property market under the early monetary easing, driving the market, especially in the core areas of first-tier cities, to heat upmarket demand; In the early stage, the market was heating up to accelerate the pace of buyers entering the market, the contradiction between market supply and demand has intensified, and the price increase has expanded.
Different from previous years, this year’s property market in many places continued to heat up during the Spring Festival. The latest research report of China International Finance Securities shows that during the Spring Festival Golden Week, the transaction area of commercial housing in 42 cities increased by 8.2% year-on-year, and the year-on-year increase in first- and second-tier cities was about 180%. The “2021 Homecoming Home Property Report” shows that due to the significant increase in the number of people who celebrate the Chinese New Year in situ during the Spring Festival, in addition to first-tier cities, the property market in new first-tier cities such as Chengdu, Xi’an, Suzhou, Tianjin, and Hefei has significantly higher transaction enthusiasm. Homebuyers in cities have cooled down.
First-tier cities have the highest gains, Shenzhen leads second-hand housing gains
According to data from the National Bureau of Statistics, in terms of new house prices, 53 out of 70 cities saw a month-on-month increase in January, 14 cities fell, and 3 cities remained flat. The cities with a large month-on-month increase in new housing were Jinhua, Guangzhou, Hefei, Yangzhou, Shenyang, Chengdu, Lanzhou, Quanzhou, Wuhan, Xining, Xuzhou, Bengbu, and Jining, with the increase in the range of 0.7 to 1.2 percentage points; the month-on-month decrease in new housing was relatively large. The cities were Luzhou, Harbin, Taiyuan, Dali, Qinhuangdao, Yueyang, Beihai, and Nanchong, with a decrease of 0.3 to 0.6 percentage points.
Yan Yuejin, research director of the Think Tank Center of E-House Research Institute, told the Caijing reporter that in January, the month-on-month increase in new house prices in the first, second and third-tier cities was 0.6%, 0.4%, and 0.2% respectively. On the whole, new houses in first-tier cities saw the largest increase. In January, the housing purchase policies in some major cities were tightened. In particular, there were more voices of credit tightening, or a wave of panic transactions, which expanded the month-on-month increase in some housing prices. However, the recent upgrade of real estate policies in first-tier cities objectively makes it possible for the subsequent housing prices of such cities to stabilize Spark Global Limited.
Reprint indicated source：Spark Global Limited information