The land transactions in 10 typical Chinese cities monitored by E-house China R&D Institute totaled 14.43 million square meters in October, down 39.9 percent from September or down five percent year on year, according to statistics released by the institute on Monday.
Land transaction fees in the 10 cities reached 73.1 billion yuan in October, down 29.1 percent from September but up 24 percent year on year, quite an obvious rally as compared to previous month.
Statistics show that in the first 10 months, the land transaction commissions in the 10 cities including Beijing, Shanghai, Guangzhou and Shenzhen totaled 588.9 billion yuan, down 17.9 percent from the same period of 2014 and 26.9 percent from corresponding 2013 period, but up 52.2 percent from the same period of 2012.
The figures show China's land market has become active and the average land transaction price is likely to increase further. The average land transaction price in the 10 cities was up 2.3 percent month on month, or 23 percent year on year, to 3,914 yuan/square meter in October.
After frequent emerging of new 'land kings' in September, the average land transaction price showed strong growing momentum in October, approaching a fresh high since 2014. The premium rate of land transactions in the 10 cities was 21 percent in October, up 2.4 percentage points from September, breaking the resistance level of 20 percent, hitting a new high since the second half of 2014.
Cao Nina, an analyst with E-house China R&D Institute, said growing momentum has pushed the premium rate of land market out of the bottom and land price heated up after the emerging of land kings.
Land premium rate exceeding the resistance level of 20 percent implies that the land price has touched a highest level in history.
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