According to the National Bureau of Statistics (NBS), investment in real estate in China dropped by 16.3 percent year-on-year in the first two months of 2020, which the NBS said was a historic low, without giving a timeframe. Meanwhile, sales of commercial properties measured by floor space dropped to 847.5 million yuan (US$124.6m), down 39.9 percent year-on-year. To offset the coronavirus impact, a growing number of cities have loosened restrictions on housing purchases to keep the market stable and bolster economic growth. Data shows that real estate accounted for 7 percent of China’s GDP growth and revenue from land sales for 52.9 percent of local governments’ fiscal revenue in 2019. Real estate polices in accordance with conditions in different cities will be the main factor to gauge real estate market trends. Policymakers have to weigh housing prices, the economy and livelihoods at a time when the Covid-19 epidemic is expected to continue for a while.
Old Version
