BEIJING : China's August new home prices rose at the slowest pace in five months as red-hot demand in its biggest cities cooled following a slew of restrictions to stabilise surging prices, a private-sector survey showed on Wednesday.
New home prices in 100 cities climbed 0.2per cent in August from a month earlier, slowing from a 0.35per cent gain in July, according to data from China Index Academy, one of the country's largest independent real estate research firms.
Authorities have stepped up efforts to rein in housing prices this year with measures such as restrictions on home purchases and higher mortgage rates.
The southern city of Guangzhou on Tuesday introduced a pricing reference for resale homes to curb its red-hot market. Around 10 cities including Shanghai and Shenzhen have already implemented similar pricing systems.
"In the third and fourth quarter, property control measures will continue to be refined, and become more comprehensive and frequent, to plug any (policy) loopholes," said Cao Jingjing, research director at China Index Academy.
Prices in the biggest tier-one cities such as Shanghai and Beijing rose the slowest, compared with price growth in tier-two cities and even smaller cities, up 0.11per cent versus July's 0.54per cent growh.
The slowdown in tier-1 cities was mainly due to control policies in those markets and COVID-19 related measures in Shanghai due to a recent outbreak in the financial hub, said Cao.
On an annual basis, China's new home prices grew 3.51per cent in August, slowing from July's 3.81per cent increase, the slowest clip since December 2020.
Land sales to developers by floor space declined 32per cent in August from a month earlier, and fell 42per cent on an annual basis, according to separate data from the group.
The National Bureau of Statistics will release official August data for China's home prices in mid-September.
(Reporting by Liangping Gao and Ryan Woo; Editing by Edmund Blair)