Existing housing index falls

Shanghai's existing housing index fell for the first time in five months amid continuously declining transactions.

The index, which monitors month-on-month price changes in 130 areas of the city, dipped 0.16 percent, or 5 points, to 3,926 points in July, the Shanghai Existing Housing Index Office said in its regular monthly report released on Friday.

Citywide, about 20,270 pre-occupied homes changed hands, a decline of 6.1 percent from June. On a year-on-year basis, the figure rose 46.9 percent.

Pre-owned homes costing less than 3 million yuan (US$424,532) accounted for 63.8 percent of the total. Those worth 5 million yuan or more made up 12.9 percent.

Prices of pre-occupied homes rose in 45 areas, fell in 62 and were flat in 23.

"July was the traditional off season for property sales but the market still seemed stable with monthly sales remaining above the 20,000 units barrier," the office said. "However, we've noticed that an increasing number of individual home owners are now willing to give a discount or simply lower their asking price."

By area, Pujiang in Minhang District, Sanlin in the Pudong New Area and Nanqiao in Fengxian District were the three most popular areas among home seekers, with sales of 521, 477 and 466 homes.

On the inventory side, a total of 65,476 pre-occupied homes were available on the market as of the end of July, a month-on-month dip of 0.1 percent and a year-on-year drop of 20.3 percent, according to the office.