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China Housing January 2021

China: Housing market perks up in January, but uptick could be short-lived

House prices in 70 large- and medium-sized cities increased 0.3% in January in month-on-month terms according to a weighted average index calculated by Refinitiv from data issued by the National Bureau of Statistics (NBS). The print was up from December’s 0.1% reading. Tier-1 cities such as Beijing, Shanghai, and Guangzhou led the overall increase in house prices.

House prices increased 3.9% annually in January, above December’s 3.8% rise. Annual average growth in house prices fell from 4.9% in December to 4.7% in January.

Looking ahead, the housing market is likely to lose some momentum this year due to the impact of recent government measures to limit financial risks—including limits on property loans—notwithstanding a stronger domestic economy.

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