Housing Sales Fell by 10 Percent for First Eight Months Compared to a Year Earlier
Based on the data collected by the National Bureau of Statistics, housing sales in China fell by 10.9 percent in the first eight months or to 3.43 trillion. Sales in the first seven months of the year were also down by 10.5 percent compared to a year earlier
Real estate developers across the country are struggling due to weak sales, large inventories along with tight credit conditions as the year start. Some authorities in the local level has been loosening policies in hopes to support the slow market, while investors and analysts are monitoring closely any signs of recovery in the housing market a basis of the economic growth in the country. 30 local governments loosen their property restrictions such as limiting second home purchases, buyers are staying away and keeping themselves in the sidelines as they are expected housing prices are to fall further on the rising inventories.
A lot of Chinese property developers reports that on the earning of the first half of the year which they expected to sell most of the bulk of their inventories in September and October that is usually the peak months of property sales. Property investment for the first eight months of the year increased by 13 percent a slowdown from the 13.7 percent growth in the first seven months.