Bottom not in yet, despite easing of curbs on home buying in Chinese cities

The mainland property market will keep testing for a bottom in the next few months despite the loosening of home purchase restrictions by more than two dozen citiies in recent weeks, industry analysts said.

Hot weather, rain and storms were adding to the summer downturn, they said, although sentiment could gradually recover as a result of the incremental relaxation of policy.

As of July 23, 26 cities had reportedly eased home purchase restrictions, out of 46 that had imposed such controls since 2010, consultancy Centaline China said.

However, only a few cities, including Hohhot in Inner Mongolia and Jinan in Shandong province, have confirmed the relaxation publicly.

Most avoided publicity for the easing.

"For the relaxation to work, it needs good timing," Chen Xiaotian, chief researcher at Shanghai-based consultancy E&H Corp, told the South China Morning Post.