China Construction Bank said in a report that China’s real estate market will be stagnant in housing price and declining in sales volume, and the bank is speeding up collecting due property development loans.
The report pointed out that not only the sales of commercial house dropped remarkably, but also the growth of down payment and advanced payment, part of the capital recourse of property development, declined to 14.4% in June from 35% in April.
Guo Shikun, general manager of research department from the bank, said if the trade volume shrank further in the rest of the year, the prices of housing will slip further.
Source: Trading Markets
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