But the recovery is uneven and demand in small cities remains sluggish. The Politburo, a top decision-making body of the ruling Communist Party, said last week demand for first and improved home buyers would be supported and the delivery of new homes would be ensured. "Stabilising homebuyers' confidence and expectations is still the key to promoting the recovery of the property market in the near term, and property policies may continue to be optimised," the research firm said. "The property market is expected to stabilise in the second quarter, and nationwide home sales may increase slightly month-on-month." (Reporting by Liangping Gao and Ryan Woo; Editing by Robert Birsel)
BEIJING, May 4 (Reuters) - China's average daily home
sales by floor area were down 22% compared with the May Day
holiday period before COVID-19, as demand remains subdued in
small and medium-sized cities, a private survey showed on
Thursday.
Average daily home sales fell 28% in what are known as
tier-two cities during the five-day holiday from April 29,
compared with the same period in 2019, and were down 42% in
tier-three and tier-four cities, according to China Index
Academy, a real estate research firm.
China's property sector, which accounts for a quarter of the
economy, has shown some signs of stabilising in recent weeks
with home prices rising after a sharp slump last year as
developers defaulted on bonds or debts and suspended work on new
projects.
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