ONLY 507 new homes were sold in Shenzhen last week, a 63.81-percent drop compared with the previous week, data from the city s urban planning, land and resources commission showed.
The average price of new homes fell almost 14 percent, to 19,275 yuan (US$2,900) per square meter, the Daily Sunshine reported yesterday. The total area of the new homes sold came to 54,900 square meters.
The pre-owned homes market also experienced a downturn. About 1,400 pre-owned homes were sold last week.
The average price of the properties was 18,965 yuan per square meter, according to data from Centaline Property.
Sales of new homes in Nanshan District saw the greatest decline, of almost 83 percent.
The falling prices follow the introduction of a new regulation limiting home purchases in Shenzhen, a move intended to cool the property market.
Developers and potential homebuyers are choosing to watch at this stage, said Wang Shijie, marketing director of Centaline Property. More strict curbing policies are expected, he said.
Property prices would face further challenges, according to an industry insider.
According to the new rules that took effect Oct. 1, families with Shenzhen hukou are not allowed to buy more homes if they already have two.
A commission spokesman said Monday that the purchase of a third home was allowed for families with Shenzhen hukou if their children were over 18 and single, or if they had parents living with them.
Such children or senior parents should have Shenzhen hukou or have bought social insurance for at least one year. Third homes should be registered in the names of the children or the senior parents.(Tina Chen)
