### China's Property Market Faces Continued Decline as Home Prices Drop for the 24th Consecutive Month - China's new home prices have experienced a decline for the 24th consecutive month, with a reported drop of **0.2%** in May 2025. This downturn extends a prolonged slump in the real estate sector, which has been ongoing for two years despite various government interventions aimed at stabilizing the market. The latest data indicates that the challenges facing the property sector remain significant, as the effects of policy support appear to be diminishing [https://eliteagent.com/chinas-home-prices-dip-again-in-may-extending-prolonged-property-slump][https://www.reuters.com/markets/asia/chinas-home-prices-dip-may-extending-two-year-stagnation-2025-06-16]. ### Breakdown of the Current Situation in China's Real Estate Market 1. **Continued Price Decline**: New home prices fell by **0.2%** month-on-month in May, marking a continuation of the downward trend observed over the past two years [https://www.business-standard.com/world-news/china-s-home-prices-dip-in-may-extending-two-year-slump-despite-support-125061600190_1.html]. 2. **Government Response**: Senior government officials have reiterated their commitment to reviving the property market, indicating that previous policy measures have not yielded the desired results [https://www.bloomberg.com/news/articles/2025-06-16/china-home-prices-fall-at-faster-pace-as-officials-vow-support]. 3. **Market Analysis**: Analysts suggest that the impact of Beijing's policy support is waning, leading to a faster decline in prices, particularly in the secondary market [https://www.scmp.com/business/article/3314579/no-respite-chinas-property-crisis-new-home-prices-drop-24th-month]. 4. **First-Tier Cities**: In first-tier cities, new house prices also saw a decline of **0.2%** in May, reflecting broader trends across major urban areas [https://www.steelorbis.com/steel-news/latest-news/nbs-new-house-prices-in-first-tier-cities-of-china-down-02-percent-during-may-1395911.htm]. ### Key Data Points Highlighting the Property Market's Struggles - **Price Decline**: - May 2025: New home prices down **0.2%** month-on-month [https://www.businesstimes.com.sg/property/chinas-new-home-prices-fall-0-2-may-month]. - 24 consecutive months of price drops, indicating a sustained downturn in the market [https://www.scmp.com/business/article/3314579/no-respite-chinas-property-crisis-new-home-prices-drop-24th-month]. - **Government Measures**: - Renewed pledges from officials to support the property market, highlighting ongoing challenges [https://www.bloomberg.com/news/articles/2025-06-16/china-home-prices-fall-at-faster-pace-as-officials-vow-support]. ### Conclusion: A Persistent Crisis in China's Real Estate Sector 1. **Ongoing Decline**: China's home prices continue to fall, marking a significant and prolonged crisis in the property market. 2. **Ineffectiveness of Policies**: Despite government efforts to stabilize the sector, the measures have not been effective in reversing the downward trend. 3. **Future Outlook**: The property market remains under pressure, with analysts predicting continued challenges as the effects of policy support diminish. In summary, **China's real estate market is facing a critical juncture**, with home prices declining for two years and no immediate signs of recovery despite government interventions. The situation calls for a reassessment of strategies to revitalize the sector and restore confidence among buyers and investors [https://eliteagent.com/chinas-home-prices-dip-again-in-may-extending-prolonged-property-slump][https://www.reuters.com/markets/asia/chinas-home-prices-dip-may-extending-two-year-stagnation-2025-06-16].