Dandong, Jilin, Nanchang, Qinhuangdao and Shenyang will be on the list of second- and third-tier mainland cities to face home purchase limits.
The Ministry of Housing and Urban-Rural Development have been driven to put a limit on home purchases in small- and medium-sized cities as a result of rising home prices.
According to The Standard, Premier Wen Jiabao suggested in a speech to the State Council on 14 July that corrective measures to curb speculative activities in second- and third-tier cities be implemented.
The National Bureau of Statistics noted that new home prices in these types of cities in May climbed faster than those in larger cities.
Dandong in Liaoning province posted the sharpest gain among smaller cities, with home prices rising 9.8 percent compared to last year.
In Qinhuangdao and Urumqi, prices climbed 7.8 percent and 9.1 percent year-on-year respectively, while Jilin and Mudanjiang prices rose approximately eight percent.
Home prices in Shanghai and Beijing increased 1.6 percent and 2.6 percent respectively, with a 5.1 percent increase seen in Guangzhou.
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