April's home prices in 70 cities released: New home prices rose in 22 cities, with Shanghai leading the gains among first-tier cities

The real estate market in April saw a slight pullback in popularity. According to the latest data, both new and existing home prices showed signs of adjustment, with market confidence and transaction momentum needing further improvement.

Based on the housing price data for 70 cities nationwide released by the National Bureau of Statistics (NBS) on May 19, in April 2025, the number of cities where new home prices rose MoM was 22, a decrease of 2 cities from the previous month; 45 cities experienced a decline, an increase of 4 cities from the previous month. For existing home prices, 5 cities saw a MoM increase, a decrease of 5 cities from the previous month; 64 cities experienced a decline, an increase of 8 cities from the previous month.

Fu Linghui, spokesperson for the NBS, stated that under the influence of various policies aimed at halting the decline and stabilizing the real estate market, China's real estate market has continued to move towards halting the decline and stabilizing this year. Transactions in some first- and second-tier cities have recovered to some extent, and housing prices have remained generally stable. "However, it should also be noted that the overall real estate market is still in the process of adjustment and transformation. Rigid and improvement-oriented demand remains to be released, and the pressure to destock real estate in some regions is still relatively high. Continuous efforts are still needed to promote the halting of the decline and stabilization of the real estate market."

Data shows that the MoM growth rate of the new commercial residential housing price index for 70 cities nationwide in April was -0.1%. Li Yujia, chief researcher at the Guangdong Housing Policy Research Center, pointed out that the weak performance of the new home price index in that month was mainly due to the fact that April entered the off-season after the "little spring" sales peak.

Specifically, in April, the MoM growth rate of new commercial residential housing sales prices in first-tier cities turned flat from a 0.1% increase in the previous month; in second-tier cities, it remained flat MoM; in third-tier cities, it decreased by 0.2% MoM, the same rate of decline as the previous month.

The top five cities in terms of housing price index growth were Dalian, Shanghai, Tianjin, Hangzhou, and Taiyuan.

"Currently, there are mainly two types of cities with relatively resilient markets. One type consists of cities with a very high urban hierarchy, such as Shanghai and Hangzhou; the other type includes cities like Tianjin and Taiyuan, where supply and demand indicators are relatively stable," said Yan Yuejin, deputy director of the E-House China Research and Development Institute.

It is worth noting that new home prices in first-tier cities ended a four-month consecutive upward trend. Among them, Shanghai led the gains in first-tier cities, with a MoM increase of 0.5%, followed by Beijing with a 0.1% MoM increase, while Guangzhou and Shenzhen saw decreases of 0.2% and 0.1%, respectively.

"The market conditions among first-tier cities also diverged in April. New home prices in Beijing and Shanghai rose, indicating that the real estate markets in these two cities still have certain supporting factors. In particular, the overall popularity of both new and existing homes in Shanghai still showed a slight increase. Driven by high-end improvement projects, the new home market in Shanghai in April continued to see a sustained rise in popularity. This can be attributed to its unique urban status and market demand structure, as well as its efforts to increase the supply of new homes in core areas," said Zhang Bo, President of the 58 Anjuke Research Institute.

The adjustment in the second-hand housing market has been more pronounced. In April, the second-hand housing price index for 70 cities fell by 0.4% QoQ, a significant increase from the -0.2% decline in the previous month. Among them, the selling prices of second-hand homes in first-tier cities shifted from growth to decline, falling by 0.2% QoQ, compared to a 0.2% increase in the previous month. In second- and third-tier cities, the selling prices of second-hand homes both fell by 0.4% QoQ, with the decline expanding by 0.2 and 0.1 percentage points, respectively, compared to the previous month.

"The weakening market transactions are partly related to seasonal factors. Historically, housing prices tend to weaken in Q2. Moreover, the increased supply of high-quality homes in the new housing market has had a certain impact on the second-hand housing market," said Li Yujia. As the supply-side reform in the new housing market takes effect, the transaction cycle between new and second-hand homes is accelerating, with replacement demand driving faster transactions, which has a positive effect on halting the decline in second-hand housing prices.

At the policy level, the central and local governments have taken proactive actions since April, introducing multiple measures to stabilize the real estate market. The April 25 meeting of the Political Bureau of the CPC Central Committee emphasized the need to intensify urban renewal efforts, advance the renovation of urban villages and dilapidated houses in an orderly manner, accelerate the construction of a new model for real estate development, increase the supply of high-grade housing, optimize policies for acquiring existing commercial housing, and continuously consolidate the stable trend of the real estate market.

Cao Jingjing, General Manager of the Index Research Department at China Index Academy, believes that the Political Bureau's statement on the real estate market at the end of April, shifting from "halting the decline and stabilizing the market" since September 26 last year to "continuously consolidating stability" this time, not only reflects the central government's objective assessment of the recovery in real estate sales since Q4 last year but also demonstrates a full understanding of the ongoing pressures in the market. The market still requires sustained policy efforts to further consolidate the stable trend. It is expected that various policies will continue to be implemented at an accelerated pace, focusing on areas such as urban village renovation, high-grade housing supply, and the acquisition of existing housing.