Analysis: China’s Real Estate Market Is Stabilizing, Not Returning to Rapid Growth

Sales of new homes in China have declined significantly in recent years. In 2024, an estimated just under 750 million square meters were sold, down from nearly 1.6 billion square meters in 2021. This sharp decline is one of the main causes of the continuous slowdown in China’s economy in the past few years.

However, signs of a turnaround emerged in October. In the 48 cities that we monitored, sales by floor space in November rose by 19.7% year-on-year. That was compared with a year-on-year decline of around 20% in the months before October.