Qingdao Real Estate Market

Submitted by Colton on Thursday, 22 December 20112 Comments

The bottom has fallen out of the Qingdao housing market and some speculate that the landing may be hard. I have lived in Qingdao for more than eight years and starting in 2006 watched housing prices go through the roof; it was an eerie reminder of what happened back home in California’s Silicon Valley. Some of my close friends who bought Qingdao property in 2009-2010 face some tough times ahead as property values drop due to a combination of governmental policy and global economics.

The Qingdao residential property market reached its inflection point back in March 2011 and is currently marked by sluggish housing sales and declining property values.

Currently these cuts in property value range from 10 to 20 percent for second hand units in pre-existing developments and 30 to 50 percent for new and pre-sold units under development, respectively. The residential and commercial rental prices have remained stable.

Source: Qingdao Real Estate & Housing Market Update

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2 Comments »

Crystal said:

During the first quarter of 2012 we have seen a slight decrease in both residential and commercial (office & retail) rental prices. This trend should continue throughout 2012 as more real estate becomes available.

[Reply]

- 11 February 2012 at 12:05 am

Crystal said:

The central government announced in January 2012 that 52 of 70 Chinese cities recorded month-on-month falls in new home prices, up slightly from 49 in November, a sign that efforts to curb speculation are working.

The government hiked interest rates and restricted bank lending to rein in surging inflation and cool real estate prices, reducing the credit available to buyers and hitting property developers hard.

[Reply]

- 12 February 2012 at 7:06 pm