China Tells

China’s property market, especially in the big cities, went through some rounds of crazy price move in 2009 (See Article from Chinatells). People attribute the price spike to an over loose monetary policy. However, from the housing inventory’s point of view, it seems that there is some justfication for the increasing price. A calculation of housing inventory in 15 major cities of China shows that the average housing inventory has been decreasing from 25 months of stock to 10 months of stock. After all there is some Supply and Demand fundamental impacting the housing price from behind.

对中国十五个城市空房存货的调查显示，平均存货从08年11月份开始逐渐下降，从25个月存货到目前的10个月左右。这样看来，房价高企，不断攀升还是有其基本面原因的。