Expectations have heightened in major Chinese cities like Shanghai that home prices are bottoming out following a six-year property slump, as would-be buyers actively hunt bargains amid the recent policy easing.Brisk transactions are also shoring up brokers’ confidence in the market where the prices of some lived-in flats have almost halved from their peak.“Most of the buyers are not betting on a turnaround, they just feel that home prices are more attractive now as the authorities could announce more market-boosting measures to buoy the property market,” said Li Yan, a sales manager at 5i5j Real Estate Brokerage in Shanghai. “More importantly, it is still a buyers’ market as they hold the bargaining power during negotiations.”A buoyant Shanghai home market saw housing prices steadily increase between the mid-1990s and 2020 before mainland Chinese authorities implemented the “three red lines” policy to rein in excessive gearing among the nation’s developers, causing a crisis of confidence in the country’s most significant industry.Millions of residents across the nation balked at the prospect of the value of their long-coveted flats being battered by worries that home purchases could incur heavy losses amid a potential sharp fall in prices.Charlie Li, a 40-year-old Shanghai resident, said he took a cue from recent transaction numbers and government directives, deciding to pursue proper purchase targets as home prices showed signs of stabilising.
Have China home prices hit bottom? Some buyers are hunting bargains
It’s a buyer’s market as signs of recovery in first-tier cities return bargaining power to home purchasers amid policy easing.









