Jan. 3, 2012 (China Knowledge) - The property prices in Chinese first-tier cities, including Shanghai
, may decline between 10% and 20% in 2012, said analysts from aifang.com, controlled by China's leading online second-hand property service provider anjuke.com.
The analysts said the central government has won initial success to ease bubble in the real estate market, partly boosted by the country's home purchase-limiting policy in 2011, adding that more small and medium-sized apartments for low-income families are expected to be sold in 2012. Shanghai
saw the prices of new residential properties increase 2.35% from a year earlier in the first 11 months of 2011, according to the National Bureau of Statistics
. But the city's average new residential property price was RMB 2.59 million per unit, 2% less than RMB 2.62 million last year, China Knowledge reported earlier
Many property developers have slowed down in acquiring land due to a series of policies made by the Chinese government to ease the real estate market.
In 2011, Shanghai
supplied 308 plots of land with the total potential floor area reaching 14.64 million square meters, up 12.79% from a year earlier. Of the total, 27 plots were not transacted.
The city's highest land sale transacted in 2011 was RMB 4.52 billion at the Century Avenue, Pudong district, about half of the highest price of RMB 9.22 billion at the Bund of Shanghai
in 2010, sources reported.