Core Viewpoint - The real estate market is showing signs of stabilization, with developers increasing their activity and demand driven by factors such as employment, education, and marriage [2][9]. Price Trends - In January, the sales prices of new residential properties in first, second, and third-tier cities showed a narrowing decline, with five cities experiencing a month-on-month price increase [2][9]. - Specifically, Dalian led with a 0.2% increase, while Beijing, Guangzhou, and Shenzhen saw declines of 0.3%, 0.6%, and 0.4% respectively, and Shanghai remained stable [3][9]. - Year-on-year, the prices in first-tier cities decreased by 2.1%, with Shanghai seeing a 4.2% increase, while Beijing, Guangzhou, and Shenzhen experienced declines of 2.4%, 5.3%, and 4.9% respectively [3][9]. Transaction Volume - In January, the transaction volume of new homes in 50 key cities decreased by 32% month-on-month and 20% year-on-year, with first-tier cities experiencing a decline of 36% and 28% respectively [6][12]. - The total sales amount of the top 20 residential projects in Shanghai reached approximately 11.5 billion yuan, with the leading project, Anlan Shanghai, accounting for 2.18 billion yuan [6][12]. Second-hand Housing Market - The second-hand housing market is showing a more pronounced stabilization, with first-tier cities experiencing a month-on-month price decline of 0.5%, which is a narrowing of the previous month's decline [10][13]. - The transaction area for second-hand homes in January reached approximately 810 million square meters, marking a 16% increase month-on-month and a 33% increase year-on-year [12][13]. - The recovery in the second-hand market is supported by a significant increase in the real estate brokerage industry's activity, indicating a positive shift in both seller and buyer sentiment [13].

Core Viewpoint - The overall trend of housing prices in major cities is still declining, continuing from the previous year, with expectations for 2026 being low due to the disappointing performance in 2025 [2][5]. New Housing Market - In December 2025, among 70 major cities, 12 cities saw new residential prices either increase or remain stable, an increase of one city from the previous month, but the main trend remains downward [5]. - The city with the highest increase was Shanghai, which saw a mere 0.2% rise, while Beijing, Shenzhen, and Guangzhou experienced declines of 0.4%, 0.5%, and 0.6% respectively [5]. - Year-on-year, 10 cities reported stable or increasing new housing prices, an increase of five cities from the previous month, with Shanghai again leading with a 4.8% increase [5]. Second-hand Housing Market - The second-hand housing prices continued to decline, with significant drops in major cities: Beijing down 1.3%, Shenzhen down 0.6%, Guangzhou down 0.6%, and Shanghai down 1% month-on-month [6][7]. - Year-on-year declines for second-hand housing prices were also noted, with Beijing down 8.5%, Shenzhen down 6.1%, Guangzhou down 5.4%, and Shanghai down 7.8% [6][7]. Market Sentiment - The current market sentiment is low, with a need for strong and sustained measures to stabilize the housing market [7].