China: House Prices, Rents, and Rental Yields
In Depth
- Overview
- Price History
- Rental Yields
- Taxes and Costs
- Tax on Rent (Example)
- Buying Guide
- Landlord and Tenant
- Inheritance
- Living There
- Useful Links
- Country Statistics
Directory
Global Statistics
Regional Statistics
- Sq. M. Prices
- Rental Yields
- Rents
- Price/Rent Ratio
- Price/GDP per Cap
- Buy/Sell Costs
- Rental Income Tax
- Capital Gains Tax
- Price Change 1 yr
- Price Change 5 yrs
- Landlord & Tenant Law
- GDP Per Capita
- GDP/Cap Growth 1 yr
- GDP/Cap Growth 5 yrs
- Economic Freedom
- Ec. Freedom 5 yrs
- Competitiveness
- Property Rights Index
- Currency +/- Value
Chinese yields average 4.42%
| Last Updated: Feb. 26, 2009 | |||||
| BEIJING- Apartments | COST (US$) | YIELD (p.a.) | PRICE/SQ.M. (US$) | ||
| TO BUY | MONTHLY RENT | TO BUY | MONTHLY RENT | ||
| 50 sq. m. | 134,050 | 492 | 4.40% | 2,681 | 9.84 |
| 85 sq. m. | 250,155 | 772 | 3.70% | 2,943 | 9.08 |
| 120 sq. m. | 314,040 | 1,094 | 4.18% | 2,617 | 9.12 |
| 150 sq. m. | 438,150 | 1,575 | 4.31% | 2,921 | 10.50 |
| 200 sq. m. | 578,000 | 2,108 | 4.38% | 2,890 | 10.54 |
| 400 sq. m. | 1,524,400 | 5,416 | 4.26% | 3,811 | 13.54 |
| CHENGDU- Apartments | |||||
| 40 sq. m. | 40,400 | 163 | 4.84% | 1,010 | 4.07 |
| 70 sq. m. | 69,790 | 249 | 4.28% | 997 | 3.56 |
| 120 sq. m. | 125,880 | 389 | 3.71% | 1,049 | 3.24 |
| 215 sq. m. | 254,130 | 568 | 2.68% | 1,182 | 2.64 |
| GUANGZHOU - Apartments | |||||
| 35 sq. m. | 59,010 | 260 | 5.30% | 1,686 | 7.44 |
| 65 sq. m. | 103,350 | 461 | 5.35% | 1,590 | 7.09 |
| 120 sq. m. | 174,480 | 814 | 5.60% | 1,454 | 6.78 |
| SHANGHAI- Apartments | |||||
| 50 sq. m. | 124,450 | 416 | 4.01% | 2,489 | 8.31 |
| 85 sq. m. | 212,245 | 592 | 3.35% | 2,497 | 6.97 |
| 120 sq. m. | 340,080 | 1,006 | 3.55% | 2,834 | 8.38 |
| 150 sq. m. | 400,650 | 1,319 | 3.95% | 2,671 | 8.79 |
| 200 sq. m. | 644,200 | 2,072 | 3.86% | 3,221 | 10.36 |
| SHENZHEN - Apartments | |||||
| 35 sq. m. | 66,115 | 310 | 5.63% | 1,889 | 8.87 |
| 65 sq. m. | 127,140 | 537 | 5.07% | 1,956 | 8.26 |
| 120 sq. m. | 179,400 | 954 | 6.38% | 1,495 | 7.95 |
| Districts researched: Beijing: Chaoyang, Dongcheng, Xicheng Chengdu: Jinjiang, Jinniu, Qingyang, Wuhou Guangzhou: Tianhe, Yue Xui Shanghai: Changning, Jing'an, Pudong, Xuhui Shenzhen: Futian, Luohu, Nanshan Source: Global Property Guide Definitions: Data FAQ See also: Update Schedule |
|||||
In China gross rental yields on apartments average a modest 4.42%, based on our sample of high-end used apartments in five prime cities - Beijing, Chengdu, Guangzhou, Shanghai and Shenzhen.
Things get more interesting at city level. Shanghai’s gross rental yields average only 3.74%. These are lowest gross rental yields in our sample, but then Shanghai is the only city where apartment selling prices have apparently not dropped, according to both surveys we are aware of, eHomeday and the China Real Estate Index System (CREIS) . Shanghai residential asking prices average US$2,742 per square metre (sq. m.).
Beijing apartments earn slightly higher gross rental incomes of around 4.21%. These are the country’s most expensive apartments, with an average offer price of average US$2,977 per sq. m. for the high-end used apartments in our sample.
Chengdu also has rather low gross rental yields, an average of 3.88%. Chengdu apartments are the cheapest among the five cities, at US$1,060 per sq. m.
The highest rental yields are in Shenzhen, where apartments in our sample earn gross rental yields of 5.69%. The high-end used apartments in our sample in Shenzhen cost an average of US$ 1,780 per sq. m.
Guangzhou apartments earn mid-range gross rental yields of 5.41%. Our sample of Guangzhou apartment prices averages around US$1,577 per sq. m.
How much have prices dropped in China? Prices surged for 3 years till September 2007, and then paused – and have not substantially dropped since then, according to CREIS, which uses a hedonic methodology. This may be partly because China has taken steps to support the market, such as temporarily suspending the business tax for residential property transfers. It may also be that China’s economy remains relatively strong, because of prompt government measures.
These are CREIS’s numbers:
China residential price changes - one year to December 2008 (CREIS):
Beijing – residential prices down 2.04%
Chengdu – residential prices down 8.04%
Guangzhou – residential prices down 6.09%
Shanghai – residential prices up 1.98%
Shenzhen – residential prices down 3.45%
RSS
Your Comments
Be the first to comment!