Home prices see narrowed declines

China's 70 major cities generally saw narrowed year-on-year home price drops in July, adding to signs of stabilization of the property market, data from the National Bureau of Statistics showed on Monday.

In the four first-tier cities of Guangzhou and Shenzhen in Guangdong province, Beijing and Shanghai, new home prices fell 1.1 percent year-on-year last month, compared with a 1.3-percent drop in June, while the decline in secondhand home prices narrowed from 4.9 percent to 3.7 percent in July.

In other cities, year-on-year declines of home prices also narrowed slightly in July, except new home prices in third-tier cities, where the decline was unchanged from June.

On a month-on-month basis, home prices in first-tier cities generally rose, while those in second — and third-tier cities went down. Across the 70 cities, 23 recorded increases or no change in new home prices, two more than in June, while the figure for secondhand homes was eight, two fewer than the previous month.

The NBS releases a monthly home price report tracking market changes in 70 major cities, including four first-tier cities, 31 second-tier cities and 35 third-tier cities.

More signs emerging this year suggest the property market has remained broadly stable with confidence and expectations gradually improving.

At a meeting on economic work held by the Political Bureau of the Communist Party of China Central Committee at the end of last month, policymakers called for continued efforts to stabilize the property market.

Experts said the policy direction remains clear, with local governments expected to make better use of policy tools tailored to local conditions to meet housing demand.

Yu Xiaofen, a researcher at Zhejiang University of Technology in East China, called for faster progress in developing a new model for the property sector, as well as improving long-term mechanisms to promote the stable and healthy development of the market.

XINHUA-CHINA DAILY