Will house prices fall?

The National Bureau of Statistics released data some time ago, and the results showed that the national average house price fell by more than 10% in the first two months of 2022! This shows that house prices have really fallen. Of course, the average house price includes houses, shops and apartments. And most people are concerned about housing prices, because when buying a house, everyone's first choice is the house rather than anything else.

Reasons for the decline

Real estate speculation is strictly restricted. The rapid rise of housing prices in China in the past 20 years has absolutely nothing to do with real estate speculators. Many times, house prices can obviously stabilize, but it is because the real estate speculators continue to hoard and speculate that house prices will advance by leaps and bounds. Therefore, at the end of 20 16, the state set the tone of "staying and not speculating" on the property market and issued a series of policies to restrict real estate speculation.

The birth rate is declining. Whenever the property market develops, it needs to rely on the demand for buying houses. Even if the real estate speculators speculate in real estate, they need to have enough demand for buying houses, otherwise the houses in the hands of the real estate speculators will not be sold at all. The current property market is such a property market with insufficient demand for buying houses, because the decline of the birth rate in China is too obvious.