Cities in China, mostly second-tier cities, including 10 capital cities of provinces, have loosened their restriction policy on housing purchases, aiming to boost demand in the real estate market, as reported by local media. In particular, in the period up to September 25, Tianjin, Shenyang, Nanjing, Dalian, Lanzhou, Qingdao, Jinan, Suzhou, Fuzhou, Zhengzhou, Hefei, Xiamen, Wuxi, Wuhan, Guangzhou (first-tier city) and Xi’an have announced adjustments of their policies limiting housing purchases. Tianjin, Suzhou, Guangzhou, Xiamen and Xi’an have retained purchase restrictions in certain areas or under certain conditions, while the others mentioned above have totally lifted the restrictions.
In September up to September 25, the area of real estate transacted in second-tier cities indicated a month-on-month decline of 5.2 percent, with Suzhou recording the biggest decrease of 26.56 percent, as announced by CIA, the largest independent property research organization in China. The area of real estate transacted in the first-tier cities rose by 4.17 percent month on month, signaling an improvement after several stimulus policies were issued, while the biggest rise of 26.9 percent was seen in Beijing and the biggest decline of 18.1 percent was recorded in Shenzhen.