Latest News:  


News Analysis: China's red-hot property market searching for remedy


20:47, May 21, 2013

(Xinhua File Photo)

BEIJING, May 21 (Xinhua) -- As China's real estate prices continue to rise despite the central government's repeated housing curbs, experts have suggested the cure is to be found in market-oriented measures.

China has been fine-tuning its property regulations since 2003, but average housing prices nationwide have more than tripled over the last decade, with some areas seeing prices grow by 10 times the original price.

The government's latest move to rein in the price was to release a guideline in early March urging local authorities to implement measures including a 20-percent tax on capital gains from property sales. That triggered widespread panic among potential buyers and sellers and created a secondhand property-purchasing spree in many cities.

In March 2013 alone, more than 40,000 pre-owned homes were sold in Beijing, up 300 percent from February. Meanwhile, the average sales prices rose more than 2 percent from February, official data showed.

Official statistics in April 2013 were not promising either. Sixty-seven of 70 sampled Chinese cities saw home prices increase from a month earlier, with home prices in Shanghai, Guangzhou and Shenzhen increasing 2.0, 2.1 and 1.8 percent, respectively.

A study published in late April by the Chinese Academy of Social Sciences (CASS) warned that China's real estate sector is already out of balance. The government needs to carry out changes and enforce curbs on the market, the authors said, otherwise, "there could be an overall loss in control of property prices."

"Demand outstripping supply is the key reason for the price hike," said Li Enping, a research fellow with the Institute for Urban and Environmental Studies at CASS.

【1】 【2】

We Recommend:

The man of mystery opens up

Silkworm breeding in S China

Hot atmosphere at Shenzhen underwear fair

2013 Qingdao Int'l Auto Show kicks off

Chinese women don't take Buffett's advice on gold

Asia’s largest amusement park demolished

Email|Print|Comments(Editor:WangLili、Yao Chun)

Leave your comment0 comments

  1. Name


Selections for you

  1. New-type guided missile frigate

  2. Fighters in actual-combat training

  3. Tornadoes hit U.S. state of Oklahoma

  4. Reality of migrant workers' sexual needs

  5. China’s weekly story (2013.5.11-5.17)

  6. Explosion kills 13 in China's Shandong

  7. Creative house made of paper boxes

  8. THR's International Artist of the Year

  9. 12 Asian business women

  10. Surplus workers in rural areas will be 'zero'

Most Popular


  1. Preserving culture hurts
  2. Chinese premier's India trip to evince Beijing's unwavering pursuit of better ties
  3. AP probe embodies tension between US govt, media
  4. Protectionism no painkiller for Europe
  5. Culture key to sustainable development
  6. Ten white papers, road to human rights protection
  7. Teen's tragedy reveals child abuse problems
  8. People with depression show disrupted brain 'clock'
  9. iPad obsession hurting child's development
  10. Positive signs in Europe hard won

What’s happening in China

University doors open for its security guards

  1. 5.8-magnitude earthquake hits Taiwan
  2. HK bans imports of Catalonian poultry products
  3. Smuggled snakes, tortoises confiscated in S China
  4. Mills investigated over tainted rice
  5. Boy, 8, held in 'black jail' for 4 years