Property investments in China moderated slightly in the first half of 2013, growing 20.3 percent compared with an annual increase of 20.6 percent between January to May, according to the National Bureau of Statistics.
Revenue growth from property sales also eased to 43.2 percent during the period from a 52.8 percent increase in January to May.
“We are especially concerned about the rather significant downside of investment growth, led by real estate investment,” said Ren Xianfang, Senior Economist at IHS Global Insight.
Despite this, home sales remained strong in 1H2013, helping developers replenish their land banks and speed up construction. Construction in the first six months rose 3.8 percent, up one percent in the period of January to May.
Developers’ total land bank fell 10.4 percent from last year, lower than the 13.1 percent posted in the first five months of the year.
Moreover, property inflation slowed down in June, although year-on-year gains in home prices quickened resulting from strong demand and tight supply of homes and land in top cities.
Nikki De Guzman, Junior Reporter at PropertyGuru, wrote this story. To contact her about this or other stories email nikki@propertyguru.com.sg
Related Stories:
Bali’s farmland villas gaining popularity
Bill Gates buys equestrian-friendly mansion