China new home prices growth likely flat in 2023, dragging on economy: Poll

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China new home prices growth likely flat in 2023, dragging on economy: Poll
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BEIJING: China's new home prices will likely show no growth this year, according to a Reuters poll, highlighting the intense pressure in the crisis-hit property sector that has put a choke-hold on the economy and left policymakers in a scramble to restore confidence. The expected 0 per cent year-on-year gr

BEIJING: China's new home prices will likely show no growth this year, according to a Reuters poll, highlighting the intense pressure in the crisis-hit property sector that has put a choke-hold on the economy and left policymakers in a scramble to restore confidence.

"The slowdown of China's economic recovery and conservative consumption by residents shows that property market participants' confidence has not yet recovered," said Wang Xingping, senior analyst at Fitch Bohua. The world's second-biggest economy has seen a rapid loss in momentum since the second quarter following the initial post-COVID rebound, dragged down by weak demand at home and abroad, rising unemployment and property sector woes.

Three Chinese ministries issued detailed rules on Friday allowing local governments to scrap the rule of"no mortgage record" for determining the status of"first-home buyers".

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