Two-Speed Housing Market
China's 100-city new home prices rose to an average of 17,229 yuan per square metre in July 2026, up 0.26% month-on-month and 2.09% year-on-year, according to the China Index Academy. The new home market is being driven by structural strength in core cities — Shanghai, Shenzhen, Hangzhou and Chengdu — where demand remains relatively resilient.
Secondhand Market Under Pressure
The secondary housing market tells a different story. The 100-city secondhand home price index averaged 12,584 yuan per sqm, down 0.44% from June. Of the 100 cities tracked, only 8 recorded month-on-month price increases in the secondhand market, while 92 saw prices decline — a signal of persistent buyer hesitation and oversupply.
Tier-1 Cities Lead New Home Gains
Tier-1 city new home prices rose a combined 0.63% month-on-month, while tier-2 cities posted a modest 0.2% gain. The divergence between new and secondhand markets, and between tier-1 and lower-tier cities, reflects uneven policy support and diverging buyer confidence across China's property landscape.