Real estate development investment in China fell -10.7% YoY from January to May 2025, the lowest in over a year, with residential investment down -10.0% YoY, highlighting persistent weakness in the property sector.

• New housing starts declined -22.8% YoY by area, and completions fell -17.3% YoY; residential starts and completions dropped -21.4% and -17.6%, respectively.
• Commercial housing sales were down -2.9% YoY by area and -3.8% YoY by value; residential sales fell -2.6% YoY by area and -2.8% YoY by value.
• Developer funding dropped -5.3% YoY, with self-raised funds down -7.2% and personal mortgage loans down -8.5%.
• Inventory of unsold commercial housing fell 7.15 million sq m MoM to 774.27 million sq m, with residential inventory down 4.39 million sq m.
• The housing market prosperity index stood at 93.72 in May, indicating subdued sentiment.