Pre Owned Chinese Home Sales Soar to 280 percent

The Chinese government has announced measures to curb housing speculation, but before the tax and other measures are implemented there will be a surge in transactions.

China’s home price inflation may be steeper than official data suggest, with a near quadrupling of home sales in the capital last week after the government unveiled tax plans to curb speculation, a sign that investors have giant gains to lock in.

Pre-owned home sales in Beijing soared 280 percent year-on-year in the week of March 2-8, according to local government data, and were up 141 percent on the previous week.

The government announced on March 1 plans to introduce a 20 percent capital gains tax and higher down payments for second-time home buyers to dampen expectations of more price rises.

via CNBC

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