The property market may enter the cooling channel in 2019

For the trend of the real estate market next year, Ni Pengfei, director of the Center for Urban and Competitive Research of the Chinese Academy of Social Sciences, said yesterday: “A small adjustment next year is a high probability event. Without major policy changes and unexpected events, the overall market will turn to the cooling channel. There will be no violent fluctuations.”

The China Housing Development Report released by the Chinese Academy of Social Sciences shows that since the beginning of this year, the growth rate of house prices in the country has experienced a process of rising first, then falling, then rising and then falling: the year-on-year increase in house prices rose from 3.2% in September 2017 to December 2017. 13.5%, then fell to 2.93% in March 2018, and increased to 10.7% in September 2018. Behind the changes in housing price growth, the relationship between supply and demand of commercial housing has also experienced a process of falling first, then rising and then falling.

According to the Report, since 2018, the number of real estate regulation and control in the country has reached 405 times, which is nearly 80% higher than the same period in 2017. After August 2018, demand subjects were expected to wait and see and purchase hesitation, which directly led to the decline in sales of development companies and slowdown in payments, which led to adjustments in housing and related markets.