Shenzhen housing market catches a chill as sales of lived-in homes shrank to 15-year low in 2021
- A total of 40,699 homes changed hands last year in the secondary market in Shenzhen, according to the Shenzhen Real Estate Intermediary Association
- Sales of lived-in homes shrank 60 per cent last year from 2020, the lowest level since 2007
Shenzhen’s housing market has gone into deep freeze, as a mixture of anti-speculation measures and a slowing economy sent the market contraction into overdrive, causing sales of lived-in homes in the secondary market to plunge to a 15-year low.
Sales of second-hand homes plunged 60 per cent to 40,699 last year, from 95,273 transactions in 2020, according to data provided by the Shenzhen Real Estate Intermediary Association. Last year’s volume was the lowest since 2007.
“The upwards-spiral era of home prices is gone, and home buyers are more willing to wait on the sidelines,” said Fion He, director of Midland Realty’s research unit. “The trend is particularly clear when we look at the dormant lived-in homes in Shenzhen after reference home prices were released last year.”