New home prices in the four Chinese cities defined as first-tier by the government rose, with Shenzhen posting the biggest gain in almost three years, as property measures by local governments failed to deter buyers.
Shenzhen and Guangzhou posted increases of 21 percent from a year earlier, while prices climbed 18 percent in Shanghai and 16 percent in Beijing, data from the National Bureau of Statistics showed today. Prices rose from a year earlier in 69 of 70 cities tracked by the government last month, it showed.
“Home prices in major cities have already become unaffordable; the impact of the local-level property measures is not very strong, we’ve seen similar policies before,” Yao Wei, China economist at Societe Generale SA in Hong Kong, said by phone today. “The central government is treating cities differently, but they will still take nationwide actions if home prices are rising too quickly.”
Photographer: Brent Lewin/Bloomberg
Residential buildings stand in the Tianhe district of Guangzhou.
The pace of increases from last year were the same in November from October in all four cities except for Shenzhen, according to the data.
Existing home prices rose 20 percent in Beijing last month from a year earlier, while they increased 14 percent in Shanghai, advanced 15 percent in Shenzhen and added 12 percent in Guangzhou, according to the data.
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