Is China’s Real Estate Bubble Bursting?

Charles Liu , January 24, 2015 1:23pm (updated)

real estate bubbleAfter decades of increasing prices, China’s property market looks like it is heading in the other direction. The price of new homes in 79 of China’s large and medium-sized cities fell in October, with Hangzhou hit the hardest. The Zhejiang city saw prices decline by over 9 percent.

Sixty-seven large and medium-sized cities saw prices drop from the year before, while prices rose in only three cities.

The secondary market wasn’t much better. Prices of second-hand real estate dropped in 65 out of 70 large and medium-sized cities, rose in four, and remained the same in another.

Photo: Caijingxiangboshu

Charles Liu

The Nanfang's Senior Editor