China: House prices rise month on month in January for first time in a year
House prices in 70 large- and medium-sized cities increased 0.1% month on month in January, according to a weighted average index calculated by Refinitiv from data issued by the National Bureau of Statistics (NBS). The print followed December’s 0.2% fall and was the strongest reading since January 2022. Meanwhile, house prices decreased 1.5% annually in January, matching December’s reading.
The housing market should see a recovery later this year, thanks to government support measures to both homebuilders and homebuyers, and the lifting of Covid-19 restrictions. That said, the property sector is unlikely to become the key economic growth driver it was in the past, due to a falling population and indebted housing developers.