Chinese Govt Officials on Panic Property Selling - Anti Corruption Drive

After the Chinese Central Government started the anti-corruption campaign at the end of 2012, many news articles discussed panic selling by government officials in major cities' secondary housing markets; for example, Xinhua News reported in late January that Guangzhou and Shanghai saw Government officials selling within a month 4,880 and 4,755 housing unit, or 81% and 27% of each city’s December 2012 transaction volume (assuming 100 sq m per unit here; if assume 150 sq m per unit, the percentage for Guangzhou is >100%), respectively.

Data shows continued decrease in both secondary housing prices and rentals in major cities, but relatively stable transaction volumes. This shows that home buyers' sentiment remains weak and it is affected by the news on anti-corruption campaigns and Policy to clean the official machinery of Corrupt Officials.

Like secondary housing selling price, secondary housing rentals also decreased in all five major cities.