China Home Prices Drop For Fifth Month

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By Douglas A. McIntyre Published
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According to a survey of residential home prices in the top 100 markets in China, prices dropped again in January. The market has been super-hot for over a year, and there have been worries that a real estate bubble, followed by a rapid contraction, could wipe out the net worth of many Chinese–not unlike what has happened in the US, Spain, and Ireland.

China tighten money supply earlier in the year to help combat the bubble, among other things. Now, it has loosened, which is theory could press prices higher later this year

Reuterss reports that

Average home prices in 100 Chinese cities fell 0.18 percent in January from December, marking the fifth consecutive monthly decline as Beijing continued its efforts to curb housing prices, a private survey showed on Wednesday.

China appears determined to continue discouraging property purchases, and Chinese Premier Wen Jiabao said on Tuesday that he wanted to see a reasonable pull-back in Chinese home prices in 2012.

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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