The Chinese government's measures to cool off the overheating
real estate market have prompted urban Chinese to reconsider their
purchasing plans, according to a survey published on Tuesday by
China's central bank, the .
20,000 urban banking customers in 50 major cities were surveyed
in May. The survey showed that only 19.1 percent of the
respondents, a record low, plan to purchase houses in the coming
three months, down 2.9 percent from the first quarter, or down 2.2
percent compared with the same period last year.
Meanwhile, only 11 percent of the respondents, also a record
low, made deposits with their banks to buy or furnish their homes,
down 0.4 percent from the first quarter of this year.
The central bank attributed the change to the series of policies
aimed at cooling off the housing market implemented recently by the
state and seven governmental departments.
However, the survey said that the respondents in seven big
cities have reacted differently to the state policies.
The number of Shanghai residents who plan to buy houses in the
next three months dropped by 12 percent, while those in Chongqing,
Xi'an, Wuhan and Tianjin declined by 3.7, 3.3, 2.2 and 0.8
percentage points respectively.
But in Beijing and Guangzhou, people who intend to buy property
rose 2.2 and 0.7 percent.
The real estate market is one of the most sensitive and
controversial sectors in China. Residents of big cities are
concerned about housing prices, which have been rising continuously
since China phased out free, government housing in the early
1990s.?
Last year, the country's average housing price rose by 14.4
percent, according to the National Bureau of Statistics.
After seven government departments issued a new policy last
month to control China's sky-rocketing housing prices, some
statistics showed that the price level in major metropolises
decreased, while others indicated no obvious change.
(Xinhua News Agency June 8, 2005)