Freeman Report June-July 2010 - Vol.8 , No. 6-7
July 30, 2010
Amidst a roaring recovery of the housing market beginning in the fourth quarter of 2009, the State Council announced some tough-sounding policies to cool the market in April 2010. Although these policies have worked to slow transaction volume in China’s major cities, prices have barely fallen nearly four months after these policies. The main reason for their ineffectiveness is that these measures still left ample discretion at the local level, and local authorities all over China have strong incentive to protect the real estate industry.