China home sales to fall on new curbs

New measures directed at cooling the property market could cause April home sales to decrease by as much as 50% from the previous month, South China Morning Post reported. Analysts said whether prices are affected will be determined by the local implementation of the restrictions. By the end of March, cities including Beijing, Shanghai, Chongqing, Xiamen, Hefei, Tianjin, Guangzhou and Shenzhen each issued detailed restrictions to curb the property market, in line with a central government deadline. China’s major cities announced the toughest measures, with officials in Beijing, Guangzhou and Shanghai stating their intention to impose a 20% capital gains tax on second-hand homes.