China home prices fell the most in eight years in October, signaling the property slump is worsening even after the government ramped up efforts to revive demand, reports Caixin. New-home prices in 70 cities, excluding state-subsidized housing, declined 0.38% last month from September, when they dropped 0.3%, National Bureau of Statistics figures showed Thursday. The decrease was the steepest since February 2015.
The drop adds to evidence of a persistent housing downturn after official figures this week showed a contraction in sales and property investment deepened. Fresh stimulus measures rolled out at major cities since August have done little to turn around the sector, which is dragging on China’s economic recovery.
Only tier-2 cities, mostly provincial capitals, saw a narrower price decline amid looser homebuying restrictions. Prices slid 0.35% in tier-1 cities, sharply deteriorating from a 0.05% decrease a month earlier.