On August 16, the National Bureau of statistics released the changes in the sales prices of commercial houses in 70 large and medium-sized cities in July 2021. The data show that in July 2021, the increase of commercial housing sales prices in 70 large and medium-sized cities fell month on month and year-on-year.
Experts said that from the overall house price data, a series of real estate regulation has seen preliminary results since 2021, especially the rise of second-hand house prices has slowed down significantly. The number of cities with rising second-hand house prices has declined for four consecutive months, and the regulation has effectively restrained the rise of house prices. It is expected that after August, with the return of credit policy to normal, the rise of house prices is expected to slow down in the future. The number of cities with falling house prices is expected to increase further.
Price increases and number of cities decreases
The National Bureau of Statistics announced that in July, the number of cities with month on month rise in new house prices was 51, and the number of cities with month on month decline was 16. The number of cities where second-hand housing prices rose month on month decreased from 48 in June to 41, the lowest in the year, and has declined in April. Second hand housing prices fell in 26 cities, accounting for 37.1%, a new high this year.
Source: National Bureau of Statistics
It is worth noting that, on a month on month basis, there has been an obvious slowdown in the price rise of new houses and second-hand houses in most cities. Especially in terms of second-hand housing prices, the sales prices of second-hand houses in first tier cities increased by 0.4% month on month, down 0.3 percentage points from the previous month. Among them, both Beijing and Shanghai rose 0.7% month on month, down 0.6 and 0.3 percentage points respectively from the previous month; Guangzhou rose 0.6%, the same as last month; Shenzhen fell by 0.4%, which has fallen for three consecutive months, and the decline has gradually expanded.
Zhang Dawei, chief analyst of Zhongyuan Real estate, said that the month on month rise of second-hand housing prices in July was only 41 cities, the lowest value in the year. The main reason for this phenomenon is the effect of intensive price control of second-hand houses in various places.
“Overall, the price of second-hand houses in the first and second tier hot cities in China is expected to be stable. In recent months, more than 20 cities across the country have issued policies and notices on the code of conduct for second-hand housing intermediaries and the price limit for second-hand housing owners. Xi’an, Hangzhou, Dongguan, Shenzhen and other cities have issued price limit policies for second-hand houses. In addition, Wuxi, Chengdu, Guangzhou, Hefei, Beijing, Shanghai and other cities have also recently issued different notices and policies for illegal quotation and bid up prices of second-hand houses. Second hand housing prices have risen significantly. Most cities are concentrated in areas with a strong atmosphere of real estate speculation. Investors gather. Price control is indeed conducive to the stability of the market. ” Zhang Dawei said.