House prices in China grew at the fastest rate in nearly two years last month, stoking old fears of a bubble forming in the nation’s enormous property market.
New home prices in China’s 70 largest cities rose 1.4% in August compared with a month earlier, according to Reuters calculations, expanding from July’s reading of 1.1%.
Price growth last month made August the 40th straight month of increase, countering the intention’s of Beijing to cool a three-year real estate rally.
Of the 70 cities surveyed, 67 reported new home price increases, two more than in July. On a yearly basis, August’s prices jumped 7% compared with July’s 5.8% year-on-year growth, according to data from the National Bureau of Statistics.