Average prices of new homes in 70 Chinese cities increased by 10.6 percent year-on-year in March 2019, accelerating from a 10.4 percent rise in the previous month. It is the 47th straight month of price increases and the strongest annual gain since April 2017. Among China's four biggest cities, Guangzhou reported the largest increase (11.9 percent vs 11.3 percent in February), followed by Beijing (3.2 percent vs 2.9 percent), Shanghai (1.2 percent vs 1.5 percent) and Shenzhen (0.3 percent vs 0.5 percent). On a monthly basis, new home prices went up 0.6 percent in March, after a 0.5 percent rise in February. Housing Index in China averaged 4.28 percent from 2011 until 2019, reaching an all time high of 12.60 percent in November of 2016 and a record low of -6.10 percent in March of 2015.
Housing Index in China is expected to be 11.80 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Housing Index in China to stand at 8.00 in 12 months time. In the long-term, the China Newly Built House Prices YoY Change is projected to trend around 6.00 percent in 2020, according to our econometric models.