Insatiable demand for high-end homes in Shanghai sparks hopes of a broader market recovery

0 0 1 minute read

Kerry Properties last month sold 158 units in Jinling Residence in Shanghai at prices ranging from 40 million yuan to 170 million yuan. Photo: Handout

High-end homes in Shanghai are selling out quickly, fuelling hopes of a recovery in the city’s property sector, as wealthy individuals bet on a continuing rise in prices.

The average price of upscale flats in Shanghai in the first three months of the year rose 0.5 per cent to 144,600 yuan (US$19,769) per square metre from the previous quarter, according to JLL.

Residential units priced at 100,000 yuan per square metre and above are defined as high-end, according to the property consultancy.

“Looser credit conditions combined with Shanghai’s relaxed stance on housing policies are expected to help sustain the ongoing homebuying sentiment in both the primary and secondary home markets,” said Sherril Sheng, research director for JLL China’s residential division. “High-end primary home prices are expected to rise further.”

Kerry Properties last month sold 158 units in Jinling Residence in Shanghai at prices ranging from 40 million yuan to 170 million yuan. Photo: Handout

JLL has observed a growing optimism in the luxury home segment in China’s commercial and financial hub after buyers quickly snapped up flats in Kerry Properties’ Jinling Residence last month.

The Hong Kong-listed developer launched 158 units priced from 40 million yuan to 170 million yuan, which were snapped up within 24 hours, bringing in more than 9.2 billion yuan.

Source link