Recent curbs imposed on the property market in top-tier mainland cities have finally started to have an impact as home deals and prices in Shanghai started to recede last week.
The total transaction area of commercial residential buildings in Shanghai slumped 60.44 percent to 283,600 square meters during the week of March 28-April 3, according to a widely quoted report by Uwin, a Shanghai property agency and real- estate market intelligence provider.
The city's average housing price slid to 3,2916 yuan per square meter or 60.44 percent from the previous week.
The cooling followed the government's curbing policies on March 25, which require buyers to pay as much as 70 percent of the home price as down payment from 40 percent in the past. Non-residents have to wait five years to buy a house after moving to Shanghai, versus the previous two-year period.
Increasing property transactions also spread to some second-tier cities, as seen with more people applying for housing provident fund loans last year.
Nanjing, the capital of Jiangsu province, saw the value of personal housing loans rise by 18.02 percent year-on-year to 20.23 billion yuan through 54,500 transactions.
The personal housing loans to fund deposits ratio accounted for 104.58 percent last year, while the threshold was 85 percent.
In Suzhou, the amount for personal housing loans went up by about 2.5 times year-on-year to 22.73 billion yuan. Fuzhou, in Fujian province, also recorded a 30.42 percent growth. WIKI SU