31 May '14, 4am

China house prices post first fall in 23 months

BEIJING: Home prices in major Chinese cities posted their first monthly decline in nearly two years in May, an independent survey showed Saturday, providing new evidence the once red-hot market is losing steam. The average price of a new home in 100 major cities declined this month by 0.32 percent from April to 10,978 yuan ($1,758) per square metre, according to the China Index Academy (CIA), the first fall since June 2012. Prices dropped in 62 cities and were unchanged in one, according to the academy, the research unit of real estate website operator Soufun. The biggest monthly fall was in Shantou, in the southern province of Guangdong, where prices slumped 3.64 percent on April. "Rising market supply and sharp falls in transactions have put relatively heavy pressure on property developers' sales, leading some to beef up promotions and adjust their pricing strategy," CIA...

Full article: http://www.channelnewsasia.com/news/business/internationa...

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