Jiangmen’s housing sector has scope for growth, but its ‘minor’ status puts in the shade of other Greater Bay Area cities, analysts say
- One analyst expects Jiangmen’s home prices to be aided by relaxed buying restrictions and economic recovery after the coronavirus outbreak
- Other market observers expect Jiangmen’s home prices to see steady growth, but not to the extent seen in other smaller tier bay area cities of Zhongshan and Zhuhai
“Jiangmen’s housing market is gradually picking up,” said Li Yujia, senior economist and assistant to officer at Guangdong Urban and Rural Planning and Design Institute, a policy advisory branch of the provincial housing regulator. “Last year, the city relaxed buying restrictions with a policy to attract talent.”
He expects demand in the fourth quarter to further pick up, pointing out that the overall containment of the coronavirus outbreak in the mainland and ample liquidity in the market will boost prices by another 5 per cent by the year-end. Growth, however, may be capped due to record-high level of unsold stock, according to E-House China R&D Institute.
“The social security [payment] requirement [for buying a home for non-locals] is just half to one year,” said Li. “It also has a talent [attraction] policy that gets around the buyer restriction. As long as one fits the industries needed in Jiangmen’s development, there are no restrictions on buying homes.”
02:35
China's ambitious plan to develop it own ‘Greater Bay Area’
Li added that Beijing’s housing price cooling measures are only for controlling red-hot markets, with Jiangmen falling outside the category. Apart from curbs in Shenzhen and Dongguan, the housing markets in other Greater Bay Area cities, including Guangzhou are largely unrestricted.