Feel Hong Kong real estate is out of reach? Spare a thought for residents in Shenzhen, where home prices rose 508 per cent in a decade
Average growth rate in eight key mainland China cities 255 per cent
Housing prices in eight key mainland China cities have rocketed upwards in the past decade, with those in Shenzhen surging more than 500 per cent, a study shows.
Shenzhen saw new home prices rise 508.5 per cent between 2006 and 2015, with an annual growth rate of 20.4 per cent, according to a home price index jointly issued by Tsinghua University and the Lincoln Institute of Land Policy, a research firm.
Shanghai ranked second in terms of growth in the 10-year period, with prices up 384.6 per cent, for an annual rate of 17.6 per cent. Then followed Beijing, with a 380 per cent rise over 10 years and and annual growth of 17.5 per cent.
The quarterly China Quality-Controlled Housing Price Index monitors new home prices in urban areas of eight cities, also including Chengdu, Dalian, Tianjin, Wuhan and Xian.
The average growth in home prices in the eight cities amounted to 255.1 per cent over the past decade, or an annual growth rate of 13.5 per cent, beating the average gross domestic product growth rate of 9.5 per cent, according to the study.
The trend will continue, with home prices in core cities surging while prices in inland cities soften
Despite the broad slowdown in the mainland property sector, analysts said the growing momentum in key cities would continue on the back of strong demand and stable economic development.