Real-estate investment in China declined 2.7% in the January-April period, and hit the lowest level since the initial Covid-19 outbreak in early 2020, as the government’s easing policies failed to revive the cooling property market.
The decline in property investment for the four months reversed from the 0.7% increase recorded for the January-March period.
Home sales by volume, a key indicator of demand, fell 32.2% in the first four months of 2022 from a year earlier. This compared with a 25.6% decrease during the January-March period, according to data released by the National Bureau of Statistics on Monday.
New construction starts measured by floor area dropped 26.3% during the January-April period, widening from the 17.5% fall in the first three months of the year.
China’s central bank cut mortgage-loan interest rates for first-time home buyers by 20 basis points on Sunday, a move to revive the struggling property market.
In the first quarter of the year, banks in many cities across China had cut mortgage rates and local governments of dozens of cities had moved to ease home purchasing curbs to restore buyer confidence and boost the property market.
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