The rich Shanghai real estate market is staging a comeback, putting another chip in the armor of the hard landing theorists as China’s economy continues to muddle through, rather than deteriorate.
New home sales exceeded 200,000 square meters again in Shanghai last week while average price climbed to a three-week high due to strong sales of mid to high-end properties, the Shanghai based Deovolente Realty Group said in a report released Monday.
Sales of new homes, excluding government-subsidized affordable housing, rose 22.9 percent from a week earlier to 214,000 square meters last week, according to the report.
“New home sales rebounded significantly after hovering around 170,000 square meters for two consecutive weeks,” said Lu Qilin, a Deovolente researcher, told Shanghai Daily. “Average price, meanwhile, stood above 23,000 yuan ($3,633) per square meter for eighth weeks in a run. Those priced at 25,000 yuan per square meter and above made up 40 percent of total sales.”
