Core Insights - The overall trend in the real estate market shows a decline in housing prices across various city tiers, with both month-on-month and year-on-year decreases reported for October 2025 [1][2][5] Group 1: First-tier Cities - In October, new residential sales prices in first-tier cities decreased by 0.3% month-on-month, with Shanghai experiencing a slight increase of 0.3%, while Beijing, Guangzhou, and Shenzhen saw declines of 0.1%, 0.8%, and 0.7% respectively [2] - Year-on-year, first-tier cities' new residential prices fell by 0.8%, with Shanghai showing a significant increase of 5.7%, while Beijing, Guangzhou, and Shenzhen recorded declines of 2.0%, 4.2%, and 2.6% respectively [2] - The demand for improved housing remains stable, particularly in the 90-144 square meter category, which is a key support for transactions [2] Group 2: Second and Third-tier Cities - Second-tier cities saw a month-on-month price decline of 0.4%, while third-tier cities experienced a 0.5% decrease, with the latter's decline widening by 0.1 percentage points [2] - Year-on-year, second-tier cities' prices fell by 2.0%, a slight narrowing of the decline, while third-tier cities saw a 3.4% decrease, unchanged from the previous month [2][3] Group 3: Market Dynamics and Predictions - High inventory levels in smaller cities continue to exert downward pressure on prices, with significant interest in second-hand homes, where 37% of new home seekers are also looking at second-hand options [3] - It is anticipated that from November to December, real estate companies will increase efforts to boost sales through price reductions, potentially leading to a rise in transaction volumes, particularly in core 24 cities [3] - The second-hand housing market in first-tier cities is expected to stabilize in both volume and price, with a month-on-month price decline of 0.9% reported for October [4] - Overall, the market is expected to exhibit characteristics of "stable volume, weak prices, and ongoing differentiation" as policy support increases and companies strive to meet year-end targets [5]