Standard Chartered put out a note last week, suggesting that the Chinese “residential housing sector is coming back“.
Their view is based on the fact that sales volume growth has been back in positive territory on a year-on-year basis, and growth in floor area under construction is bouncing back. The other observation is that new home inventory is declining from the peak to a seemingly normal level, and developers are now more active in bidding land.
Of course, the note was out before they got the taste of a sluggish golden week sales, so perhaps they might not have said that if the report is dated after the holiday. But anyway:
Source: Standard Chartered
But can we conclude that this recovery is for real simply from these little facts?
This article originally appeared here: Is the Chinese real estate market recovering? For real?
Also sprach Analyst – World & China Economy, Global Finance, Real Estate
Read more posts on Also Sprach Analyst »