New home prices across the mainland picked up strongly in March, supported by housing policies from the central government that take into account varying market conditions in different cities.
Prices of new homes in the 100 biggest cities rose an average of 7.41 per cent year on year to 11,303 yuan (HK$13,562) per square metre last month, the eighth straight month of gains and the fastest growth since August, research firm China Real Estate Index System (CREIS) said.
“The central government has actively pushed first- and second-tier cities where prices are growing fast to tighten controls, while encouraging cities with inventory pressure to boost demand,” CREIS said, detailing the varied housing policy.
Month on month, prices in March rose 1.9 per cent, faster than the 0.6 per cent gain in February. Sixty cities saw prices rise from the previous month, compared with 61 in February.
The property market has seen a strong rebound in March, with faster price increases in hot cities like Shenzhen, Shanghai and Suzhou due to shortage of supply
Shenzhen remained the most expensive city nationwide, with average new home prices skyrocketing 57 per cent year on year to a record 48,963 yuan per square metre. Shanghai was the second priciest, surging 20 per cent to 39,035 yuan per square metre. Beijing rose 10 per cent.