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More new houses to curb rising Shanghai housing prices

(chinadaily.com.cn)
Updated: 2009-08-28 10:35

Shanghai is increasing construction of commercial housing to help lower rising housing prices after they reached a new peak in July, the website of China News Service reported Thursday.

Related readings:  Middle class feels locked out of housing market  China's cities to receive massive influx  Beijing commercial housing to average 17,000 yuan/sm  Shanghai house prices to parallel HK in 15 years  Low-income group's housing a problem

The city has launched three big housing projects since Wednesday, after the Shanghai Residential Housing Price Index in July reached a historic high of 2045, an increase of 99 points over last month.

In most of Shanghai and its suburban areas, citizens must spend at least 10,000 yuan ($1,471) to purchase a single square meter of commercial housing.

Yu Zhengsheng, the CPC party chief of Shanghai told the media recently that he thinks the housing price is too high and the government is considering pushing "more house building" to solve the problem.