Inside China Today

Beijing’s second hand real estates tumble into new era

The decline of China’s housing market has recently marked its impact on second hand real estates. Beijing’s second hand housing market has fallen for two consecutive months. According to Beijing’s Zhongyuan Third Level Market Research Department, second hand real estate dumping foretells the arrival of an era in favor of buyers.
According to reports from mainland Chinese newspaper, Legal System Evening Press, compared with the new housing market, second hand real estate has shown more obvious traits of the ‘buyer’s era’. Increased dumping of second hand housing has not elevated the rate of contractual deals. On the contrary, the overall sales rate has also decreased in the last two months. In August, Beijing only saw 1687 successful second hand real estates sales, 24% lower than July figures, and 34% less than August 2007. Meanwhile, successful sales and registered seekers of second hand housing have both dropped by more than 40%. Additionally, bargain margins between buyers and sellers have surpassed 10%, a record high in recent years.

Workers in the real estate profession have seen the emotions of indecisive buyers that are observant of second hand housing, as supply well exceeds apparent demand. Agents of minor real estate businesses are expected to withdraw from the market as they suffer some of the heavier impacts.

The above news was brought to you by Chris Thomas for Inside China Today on SOH Radio Network.