China August home prices rise 9.2 per cent year on Year

Home prices in the coastal city of Xiamen and inland city Hefei had the biggest surge, rising 43.8 percent and 40.3 percent respectively, from a year ago.

By: Reuters | Bejing | Published:September 19, 2016 7:31 am

Average new home prices in China’s 70 major cities rose 9.2 percent in August from a year earlier, accelerating from a 7.9 percent increase in July, an official survey showed on Monday.

Compared with a month earlier, home prices rose 1.5 percent, quickening from July’s 0.8 percent, according to Reuters calculations from data issued by the National Bureau of Statistics (NBS).

Home prices in the coastal city of Xiamen and inland city Hefei had the biggest surge, rising 43.8 percent and 40.3 percent respectively, from a year ago.
Shanghai and Beijing prices rose 31.2 percent and 23.5 percent.

A booming property market has given a much-needed boost to China’s economic growth this year, but concerns are rising that the upward trend in prices won’t be sustainable, as a growing number of overheated cities have introduced restrictions on home purchases to prevent asset price bubbles.