Real estate prices for new housing in China have fallen for the first time in 6 years

Real estate prices for new housing in China have fallen for the first time in 6 years

Real estate prices for new housing in China have fallen for the first time in 6 years
In the wake of the Evergrande crisis, other real estate companies have stumbled.  Source: dpa

In China, the price of new homes fell for the first time in six years. According to a statement from the national statistical office on Wednesday, prices in 70 cities in the country fell by an average of 0.08 percent in a month-on-month comparison in September.

This is the first decline since April 2015. The real estate markets in China have experienced a boom in recent years. A drop in prices has also been reported for existing apartments. Here there was a minus of 0.19 percent in September.

The Chinese real estate market is shaken by the Evergrande Group’s crisis, which is increasingly spreading to the industry as a whole. The real estate company is heavily indebted. There have recently been several delays in interest payments on Evergrande bonds. In the wake of the Evergrande crisis, other real estate companies have stumbled.