Developers Do Not Foresee Price Increases in Beijing

Contrary to the previous post, here's an article that states the industry insiders don't see price rises on the way, even in Beijing.

The industry generally believe that the changing nature of the property market has emerged, there is no basis for a large price increase.

According to the chain of home real estate market research statistics, in April (1-12 days) of commerical housing (excluding affordable housing) turnover was 1232 units, compared with the same period in March rose 35.5 percent, up 43.9 percent over last year. The average transaction price of 29,422 yuan / square meter, up 2.6%.

Chain of home real estate market research LI Qiao-ling that, under the new mortgage and fiscal stimulus policies, in April 2015 the market turnover was significantly better than the same period in 2014, but less than in 2013.
China Resources Land Qin Jiang, Assistant General Manager Marketing Management Department Beijing says that the reason for price increases before was expectations. Since prices were expected to rise, developers raised prices, investors followed them and then buyers followed. Now, the expectations have fundamentally changed. Also, most people already have homes, so raising prices doesn't cause people to move off the sidelines and buy a house, the way it might for someone without a home whose looking to buy.

iFeng: 京楼市涨价只闻声不亮剑 业内:房价难大涨

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