New | Need for more action as China secondary home deals slide

Secondary home prices in Shanghai and Beijing picked up at a faster pace last month than in January, the SCMP-CTC index shows, but transactions slumped in both cities, showing more supportive measures are needed to solidify recovery in the sector.

Prices of existing homes grew 0.3 per cent from a month earlier to 41,702 yuan per square metre in Beijing, faster than January's increase of 0.1 per cent, according to data from consultancy Century 21 China Real Estate (CTC), a partner of the South China Morning Post for the monthly index.

In Shanghai, prices gained 0.9 per cent to 34,599 yuan per square metre, compared with almost no changes in the previous two months.

The index stayed unchanged in Beijing at 159 but rose to 143 in Shanghai from January's 142.

"Easier policies are having a positive impact, and landlords are resisting any price cuts as the market warms up," said Century 21.

The upward trend started in Beijing in September last year and in Shanghai a month later. But the monthly gains have mostly remained under 1 per cent.