Shenzhen property prices up 40% in first half

Shenzhen property prices up 40% in first half
By Dai Yan (chinadaily.com.cn)
Updated: 2007-07-12 15:18


Housing prices in Shenzhen surged 40 percent in the first half of the year, among the highest of 70 large- and medium cities in China, while the average price of new properties exceeded 10,000 yuan (US$1,321) per square meter, according to statistics.

Average housing prices in Shenzhen were around 9,400 yuan per square meter in 2006, but the figure rose to 10,600 yuan in January and to over 14,500 yuan in June this year.

Prices of new properties in Shenzhen Nanshan District reached an average of 22,000 yuan per square meter, spurred by the July 1 opening of the Shenzhen Bay Port and Shenzhen Bay. The new Hong Kong border crossing links Nanshan District and Yuen Long District in Hong Kong.

Properties inside the Shenzhen Economic Zone, including Luohu, Futian, Nanshan and Yantan districts, saw more remarkable price rises. Average prices climbed to over 20,000 yuan in June from 12,500 yuan in January. It may be attributed to land shortage, new properties decrease and large-sized luxury houses cluster, according to some Shenzhen real estate brokers companies. Meanwhile, average housing prices in Baoan and Longgang districts outside the zone increased 29 percent to 12,700 yuan from 9,800 yuan.

Those once hesitant buyers regret not buying houses earlier, and the wealthy invest more with growing passions. High property prices worry younger people the most, and some are so desperate they are considering leaving the city.