New commercial real estate sold in China is expected to amount to 1.3 billion square meters in 2023, and may be in the annual range of 1.0-1.2 billion square meters in 2024-25, while the figure stood at 1.8 billion square meters and 1.358 billion square meters in 2021 and 2022, as stated on July 6 by Huang Yu, executive vice president of CIA, the largest independent property research organization in China.
CIA issued its China Real Estate Market Summary for H1 & Trend Outlook for H2 on the same day. Accordingly, the weak income expectations of residents, strong expectations for falling real estate prices and buyers’ fears regarding houses which may not be delivered as scheduled will be the key factors affecting the real estate market trend in the second half of the current year.
Huang Yu pointed out that the demand structure for real estate will change in the future; for instance, demand for improved housing will increase continuously in the 2021-25 period.