China: House prices record largest drop on record in August
September 18, 2014
House prices in 70 large and medium cities fell 1.1% in August over the previous month, according to a weighted average calculated by Thomson Reuters from data issued by the National Bureau of Statistics (NBS). August’s drop exceeded the 0.9% decline recorded in the previous month and represented the largest contraction in prices since January 2011. According to the NBS, the sales prices of newly constructed commercial residential buildings declined in 68 cities, that of 1 city remained at the same level, and that of 1 city increased.
On an annual basis, house prices increased only 0.5%, which was well below the 2.5% rise tallied in July and marked a 20-month low. As a result of August’s subdued reading, annual average growth in house prices slowed from July’s 7.7% to 7.0%.