March Shanghai lived-in home deals up

Transactions involving lived-in homes in Shanghai shot up in March as owners offered discounts to bargain hunters, but the outlook for the city’s housing market remains cloudy due to concerns about a bleak mainland Chinese economy, reports the South China Morning Post. The number of transactions hit a 20-month high, and a total of 24,000 pre-owned flats changed hands last month in the mainland’s most developed metropolis. This tally was also 24% higher than February and 86% above the same period a year ago, according to property agency Lianjia.

The average price for lived-in homes rose 2% month on month to RMB 40,560 ($5,607) per square metre, and nearly 90% of the transacted homes sported a price tag of less than RMB 6 million. Most are located in areas away from the city centre.

“The jump in the number of transactions resulted from the release of pent-up demand, as some owners reduced prices to satisfy interested buyers,” said Xie Jiaojiao, a senior sales manager with property agency 5I5J.