(Bloomberg) -- China’s home-price growth slowed for a sixth straight month in November, with developers offering deeper discounts in a lackluster market.
- New-home prices, excluding state-subsidized housing, rose just 0.3% last month from October in 70 major cities, National Bureau of Statistics data showed Monday. That’s the slowest gain since February 2018.
- Developers may have to cut prices even further to meet sales targets set at the beginning of the year. Buyer sentiment has deteriorated, with transactions last month slipping 1% from October after a 37% surge in supply, China Real Estate Information Corp. data show
- The focus is shifting to whether policy makers might ease property curbs and loosen financing restrictions on home builders. At the Communist Party’s annual economic planning meeting last week, goals for the housing market next year weren’t explicitly stated
- Some economists, including those at Goldman Sachs Group Inc., forecast authorities may have become “slightly less hawkish” regarding concerns about property sector over-tightening. However they say a full-scale easing is unlikely
- “Economic factors are likely compelling Beijing to adjust its overly hawkish stance on the property sector,” Lu Ting, the chief China economist at Nomura International (HK) Ltd., wrote before the data release
- China Property Firms Gird for Tough Year as Bond Quotas Bite
- Beijing Has Built Thousands of Cheap Apartments No One Wants
- For more detail on the data, click here
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