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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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza