Annual growth in Chinese new home prices continued to slow last month, according to data released by China’s National Bureau of Statistics (NBS) on Thursday.
But there’s already signs that prices may be starting to accelerate again.
According to the NBS, prices across the nation grew by 10.7% in April compared to a year earlier, down from the 11.3% level of March and well off the cyclical peak of 12.6% seen in November last year.
It was the slowest annual increase since August last year.
Of the major centres, prices rose by 16% in Beijing, 13.2% in Shanghai and 6.6% in Shenzhen from a year earlier, down from 19%, 16.8% and 9.1% in March.
The deceleration in Shenzhen’s housing market, the buzzing metropolis bordering Hong Kong in the nation’s south, has been pronounced over the past year, slowing sharply from the 62.4% gain recorded in the 12 months to April 2016.
Elsewhere prices rose by 17.3% in Tianjin, 21.6% in Guangzhou and 9.9% in Chongquing.
From a month earlier, prices grew by 0.7%, the fastest pace since October last year. This continued the acceleration seen since January when they grew by just 0.2%. Ever since they have increased at a faster pace than a month earlier, something that has come despite a renewed push by regulators to stymie rapid price growth.
On that front it seems they’re having mixed success at present.
The NBS said that prices rose in 58 of the 70 cities monitored down from 62 in March. Eight cities registered declines while the remaining four and were unchanged.
Prices rose by 0.2% in Beijing, were flat in Shenzhen and down 0.1% in Shanghai.
According to calculations from Yan Yuejin, an analyst with E-House China R&D Institute, prices in China’s tier-3 cities — the smallest of those monitored by the NBS — grew 0.9% over the month, accelerating on the 0.8% increase seen in March.
Elsewhere growth in tier-2 cities grew by 0.6%, unchanged from the previous month, while those in tier-1 cities — the largest of all those surveyed — grew by 0.3%, half the pace reported in March.
Prices for existing properties grew by 0.8%, according to calculations from Reuters.