Foreign Property News | Posted by Zarni Kyaw
Chinese property sales by floor area dropped 3.6 percent year-on-year in September, the first decline since April, while real estate investment growth gained 8.9 percent annually, down from 9.2 percent in August, Reuters reported, citing National Bureau of Statistics (NBS) data out on 19 October.
“There is no sign that the government has relaxed their control, but it still has many methods and tools to support the market if the economy deteriorates rapidly,” Virginia Huang, Managing Director of A&T Services, CBRE Greater China, reassured Reuters.
“I think overall, China’s real estate market is still resilient, and the decline in sales is within our expectations.”
Due to tight liquidity and thinning margins, failed land auctions were on the rise last month, signaling an exodus of developers from expanding in the mainland.
New construction starts by floor area increased only 20.3 percent year-on-year in September, down from a growth of 26.6 percent in August, Reuters reported.
Ref: Property Report
