New home prices fall in Shanghai last week

By Chen Qian  |   2008-6-17  |     ONLINE EDITION

THE average new-home price in Shanghai fell 4 percent to 16,648 yuan (US$2,413) per square meter last week due to a 24.4 percent drop in high-end residential property prices.

Insiders forecast that prices will drop about 30 percent in the next six months, but likely rebound to reasonable growth after that, Labor Daily reported.

The average transaction price of 162 apartments at Maison Des Artistes in the Gubei area of Changning District was 33,806 yuan per square meter last week, 10,928 yuan less than the price in the first 5 months of this year.

"The sales of apartments at Yu Cui Hao Ting were partly affected by the earthquake," Xue Jianxiong, head of research of Shanghai Youwin Real Estate Information Service Co Ltd, told the newspaper.

The complex's developer Hutchison Whampoa Property lowered prices in reaction to a slumping market, the report said.

According to Youwin, 28 developments with 279,900 square meters of total floor space went on sale last week, a 51 percent drop compared with the first week of June. However transaction volume jumped 2 percent to 371,700 square meters in the period, the report said.