China: Growth in house prices falls to near two-year low in November
House prices in 70 large- and medium-sized cities rose 0.3% in November in month-on-month terms, according to a weighted average index calculated by Thomson Reuters from data issued by the National Bureau of Statistics (NBS). The print was below the 0.5% rise in October and the weakest result since March 2018. According to the NBS, the sale price of newly constructed residential buildings increased in 44 of the 70 cities (50 in October).
House prices increased 7.1% annually in November, below the 7.8% rise in October and the lowest result in 15 months. Annual average growth in house prices inched down from 9.7% in October to 9.5% in November.
Against this backdrop, Jing Wang, China economist at Nomura, highlights that:
“Amid worsening property market conditions and a deteriorating growth outlook, we expect Beijing to roll out moderate property easing measures in coming months to stabilise the property market and economic growth.”