New home sales increased in October
New home sales accelerated considerably in October following the government’s stimulus policies, but doubts remain whether the upswing can be maintained until the end of the year.
October new residential property sales in 30 cities rose 24.3 percent over September to 18.37 million square meters in total, according to E-House (China) Holdings Ltd, a leading real estate services company.
Its figures also showed the largest number of monthly housing sales so far this year, with 27 of the cities monitored reporting transactions increased for the fourth consecutive month.
Government measures aimed at expanding the pool of potential homebuyers were introduced on Sept 30 to avert a sharp slowdown in the country’s property market, including an easing in mortgage rules and the amount buyers can borrow. Mortgages on second homes, for instance, are now treated as a first mortgage if the buyer has paid off the first loan.