(Bloomberg) – Home prices in China fell for an 11th month in July, underscoring how the government’s relief efforts are failing to stem the country’s spiraling property crisis.
New home prices in 70 cities, excluding state-subsidized housing, were down 0.11% from June, when they fell 0.1%, Bureau figures showed on Monday. National Statistics. Existing home prices fell 0.21%, similar to the previous month.
China’s $2.4 trillion new-home market shows few signs of recovery, adding to the woes of an economy that barely grew last quarter. Mortgage boycotts, which began in early July, are undermining consumer confidence.
In four weeks last month, more than 320 projects in around 100 cities faced payment boycotts, forcing authorities to band together banks and developers to defuse the unrest. The online movement slowed after the government censored social media sites.
The tension is spreading to other regions. Earlier this month, more than a dozen developers in a central Chinese province sought help from their local government to restore property sales amid protests from disgruntled buyers.
House prices have fallen in smaller towns, the bureau’s chief statistician Sheng Guoqing said in a separate official statement.
Chinese authorities have stepped up efforts to halt a real estate slowdown that has weighed on the world’s second-largest economy for nearly a year. These include urging banks to lend more, lowering mortgage costs and partially relaxing ownership rules.
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