China’s housing market slightly drops

Average housing prices in China rose at a slower pace in June from a month earlier, as the rebound in the housing market lost some momentum as summer began and some cities started to implement tightening measures due to concerns about froth.

Home prices increased 0.71% in June from a month earlier, compared with gains of 0.84% and 1.03% recorded in May and April respectively, according to calculations by The Wall Street Journal based on data issued by the National Bureau of Statistics.

On a year-over-year basis, the average price of new homes in 70 cities rose 5.52% in June, up from 4.96% gain in May and a 4.1% gain in April. That was the sixth straight month of a year-over-year increase after a turnaround in December.

Compared with the previous month, the average price of new private homes rose in 55 of 70 cities in June, down from 60 recorded in May. Compared with the same period a year earlier, the average price of new private homes rose in 57 of 70 cities in June, up from 50 in May.

Home price gains in Beijing and Shenzhen moderated in June from May on a year-on-year basis, and stayed the same in Shanghai over the same period.

source: Market Watch