Market Enters New Phase
As we move through 2026, China real estate market shows clear signs of structural shift. After years adjustment, market enters new phase with differentiation rather than uniform movements.
Core Cities Lead
First-tier and strong second-tier cities emerge as leaders. Beijing, Shanghai and Shenzhen core areas see price increases of 5-8 percent annually, driven by strong demand, limited supply and population inflows. Chinese Academy of Social Sciences forecasts first-tier prices will rise 6-8 percent in 2026.
Smaller Cities Stabilize
Third-tier and fourth-tier cities see stabilization after years decline. Some cities like Xuzhou, Yantai and Huizhou report modest positive growth.
The Divergence Era
Era of universal rises and falls is over. Within same city, core location properties with quality attributes continue to outperform. Location remains fundamental principle.