Chinese property companies saw a significant increase in revenue in December, raising a total of 101.8 billion yuan ($14.9 billion) - a 33.4% year-on-year increase - due to support from the government for the heavily indebted sector, according to market research firm CRIC.
The survey included 100 companies, and showed that the total figure for 2022 was 824 billion yuan, a 38% decrease from the previous year. The central bank recently announced that in cities where new home sale prices have fallen for three consecutive months, mortgage rates for first-time buyers can be reduced or eliminated in phases.
China is also reportedly planning to relax borrowing restrictions for property developers by easing the "three red lines" policy. In an effort to improve liquidity in the sector, China's largest state-owned banks pledged at least $162 billion in credit in November and December.
The property industry, which makes up a quarter of China's economy, was heavily impacted in 2020 due to a number of unfinished building projects and decreased buyer interest due to COVID-19 lockdowns and movement control measures.