BEIJING--Average home prices in China rose at a slower pace in October from the month before, signaling that recent cooling measures have helped curb frothy prices in major cities.
The average price of new homes in 70 cities rose 1.1% in October from September, according to calculations by The Wall Street Journal based on data released Friday by the National Bureau of Statistics. That compares with a 1.8% month-over-month gain in September.
Year-over-year, the average new home price rose 10.4% in October, compared with a 9.3% gain in September.
New-home prices rose in 62 of 70 cities in October from a month earlier, compared with 63 cities in September. Prices of new homes increased in 65 of 70 cities in October from a year earlier, compared with 64 in September.
"Price movements have significantly stabilized" in first- and second-tier cities that rolled out stricter property-buying controls, according to an NBS statement posted online.
At least 21 cities rolled out cooling measures in late September and early October amid concerns that rising household leverage was fueling a property bubble in first-tier and some second-tier cities.
By the end of October, the growth of home prices stalled in most of those cities, according to the NBS. In Beijing, prices rose 1.2% in the first half of October, but slipped 0.4% in the last half, according to the NBS. The net 0.6% gain for the month decelerated from September's 4.9% increase from a month earlier.
While the pace of growth has stabilized month-on-month, home prices in many cities remain high compared with a year earlier.
In Hefei, the capital of an inland province, home prices jumped 48.6% in October froma year earlier, compared with a 47% increase in September. Home prices in Beijing and Shenzhen rose 30.2% and 32.1% in October, respectively, up from the on-year gains of 28.1% and 30.4% in September.
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(END) Dow Jones Newswires
November 17, 2016 21:51 ET (02:51 GMT)
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