The government has indicated a growing urgency to prevent a downward spiral of the property sector from derailment growth and endangering stability.

In November, China’s home sale decline accelerated as buyers remained wary due to the turmoil that has engulfed the country’s property sector.

Sales were down 4.1% compared to a month ago. The report states that sales by the top hundred developers should fall 15 percent from 2022.

To stabilize the nation’s housing market, officials have released a diverse set of policies to relax restrictions on home purchases and lower downpayment amounts.

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China Real Estate Information reported preliminary figures on Thursday (30 November) that showed the value for new home sales by 100 of the largest real estate companies had fallen 29.6% compared to a year before, to 390.19 Billion Yuan (S$73.3 Billion). It follows a decrease of 27.5% in October.

It is difficult to stabilize the market when there is a widespread downturn. Buyers have stayed away, fearful of construction delays, falling costs and company defaults.

The authorities are considering a proposal that would allow the banks to give them loans without collateral for the very first time.