China's property investment market experienced its slowest growth this year as Beijing continued to impose policies to help the market.
Reuters reported that the housing market's resilience may be tested as these policies to track down "speculative investments" are introduced and the government holds back on introducing new stimulus packages.
Real estate has been one of the bright spots in the Chinese economy, the second-largest in the world.
It has also been a source of "diversification" for most since the trade war with the United States heated up. Some cities, however, have shown signs of "overheating" and other cities have steadily cooled down.
The government hasn't shown any indication that it would back down from its "bubble-curbing measures" in an effort to create a surge for the economy. It revealed during a high-profile work meeting last month that it won't use the property market to create a short-term stimulus package.
There are also real concerns where further cooling could create more problems for local governments. These are very real problems, such as the shrinking of any revenue and a slowdown, which had been felt in many cities, more specifically the provincial ones.
The National Bureau of Statistics has some positive news, on the other hand. China's property development was revealed to have grown by 10.6% year-on-year during the first seven months of 2019, but it was still down 10.9% from the period of January to June, according to the Xinhua Net. The total property investment was measured to be $1.4 trillion during the period of January to July, according to NBS data.
Investments in residential buildings took up 73.4% of all total investments, increasing 15.1% to reach $760 billion. The pace of growth slowed down from 15.8% during the first half of the year. Commercial housing sales also went down by 1.3% from last year, though the decline narrowed by 1.8% from H1. They also gained sales in value by 6.2%, up 0.6% from H1.
Property sales by floor area have grown b 1.2% in July from a year earlier, after experiencing a 2.2% drop during June. Sales still fell by 1.3% after a 1.8% decline during the period of January to June.
China's home developers have raised funds, perhaps to help through a stimulus of sorts. It grew by 7% on-year during the period of January to July but was lower than a 7.2% increase during the first six months, according to officially measured data.