Some analysts believe that China is considering imposing taxes on both residential and commercial property in selective regions in a bid to cool the real estate market.
Lee Wee Liat, a property analyst at Nomura International Hong Kong, said the cities most likely to see a property bubble are Beijing, Shanghai, Shenzhen and Guangzhou.
PropertyWire reports that Chinese premier Wen Jiabao has made it clear that the government will uses taxes and interest rates to "stabilize" the property market after prices increased in November at the fastest rates since July 2008.