China’s Economy is Reopening and Home Prices Hit Seven Month High

According to National Bureau of Statistics data, China’s home prices in May, rose at the fastest pace in the past seven-month period. This as the property market continues to recover from the COVID-19 pandemic shutdowns. Interest in home buying is growing as China returns to business as normal. Prices are rising unevenly across the vast country. However, with the central bank loosening credit to support the economy housing is once again seen as a safe place to store wealth. The rebound was especially strong in China’s four megacities – Shanghai, Beijing, Tianjin and Shenzhen, where prices surged 1% higher for the second straight month in a row.  Of equal interest is the report that new starts by builders saw the first year-on-year increase of 2020.