BEIJING, Sept. 28 -- The Chinese residential property market will continue to face price pressure despite likely quarter-on-quarter sales growth in Q4 2014, according to the latest Moody's report.

Total contracted sales value for the residential property market will decline 5 to 10 percent year on year for 2014, a slower pace compared with a 10.9-percent fall in January-August, according to Moody's Investors Service forecast in an email note sent to Xinhua late on Friday.

The expected milder decline will be driven mainly by quarter-on-quarter sales growth in Q4, the agency noted, citing better mortgage availability, more projects to be launched, and selective loosening of purchase restrictions.

However, Moody's said home prices will remain under pressure, with many major Chinese cities likely reporting month-on-month price declines over the next few months.

The once-heated Chinese property market has started to chill. Government data revealed more cities reported month-on-month price drops in August, with new home price declines in 68 of 70 major Chinese cities surveyed, compared with 64 in July.

Last week, China's four major commercial banks expressed veiled support for a mortgage policy change by the central bank, rumored to be launched in the near future, that would help boost the sluggish property market.