Prospective homebuyers also seem to prefer the option of renting, as supply has increased in the form of affordable rental projects and serviced apartments. The Shanghai rental market had experienced fast price growth in the past seven years, according to data from Centaline Properties. In the first quarter of 2017, serviced apartments in Shanghai recorded an occupancy rate of 85.1 percent. And investors and operators are also joining the rental market, increasing supplies. At the same time, homeowners are also shifting from selling to leasing, bringing fiercer competition to the rental market," said James McDonald, head of Savills China Research.

Source: The China Post May 31, 2017 00:11 UTC