Tier-1 Cities Turn Positive
China's property market took a meaningful step toward stabilisation in June 2026. According to the National Bureau of Statistics (NBS), tier-1 cities — Beijing, Shanghai, Guangzhou and Shenzhen — all recorded month-on-month increases in new home prices. Nationally, 20 cities reported monthly price gains, up 4 from May and the highest count since May 2025.
June 2026 Price Summary
- Tier-1 cities: new home prices rose month-on-month
- Tier-2 and tier-3 cities: prices fell or were flat month-on-month, but year-on-year declines continued to narrow across all three tiers
- New home vs. second-hand: new-home prices are recovering faster, a sign that presale-market confidence is rebuilding ahead of completed-home transactions
- Decline-widening cities: the number of cities where prices are still falling month-on-month fell to the lowest since late 2024
Policy Tailwind
Down-payment requirements in tier-1 cities have been progressively reduced, and interest rates on first-home mortgages have reached historic lows following 12 consecutive months of the 5-year LPR holding at 3.60%. Buyers in tier-1 cities are responding to the combination of lower entry costs and easing supply.
Structural Reality
While June's data is encouraging, tier-2 and tier-3 markets remain fragile. China's broader property-market normalisation will take time: unsold inventory has fallen for four consecutive months but remains elevated. The path from stabilisation to genuine recovery requires sustained demand, completed-delivery confidence and continued policy support — a process the government describes as "finding the floor before building upward."