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Chinanews, Shanghai, July 4 – Since the Spring Festival in mid-February, transaction of houses has increased month by month. Statistics show that in June, transaction of new houses hit a new high after it reached a record high in last May. In June, about 2.4 million square meters of houses were sold. As the housing transaction increased, housing price climbed accordingly.
Despite the hot sales of houses, this reporter saw that in Shanghai, house buyers were rather cool-headed. Although many people wanted to buy a new house to improve their living conditions, they wanted to buy their houses at a reasonable price. “The bullish stock market also pushed up the prices in housing market. I once wanted to buy a house. However, recently I noticed that the price of that house had gone up by several hundred yuan for per square meter. So I have decided1 to postpone2 my purchase plan,” said Mr. Gao, who worked for an insurance company. After experiencing the depressed3 property market not long ago, both house buyers and potential buyers in Shanghai have reacted calmly to the current boom in property market. Experts say that the current house transaction boom is boosted by people’s rebounding4 demand for houses and the bullish performance of the stock market. However, such boom can only last for a short period. Analysts5 predict that such housing boom will start to decline during the second half of the year. In addition, these experts say that the rising housing price is not pushed solely6 by people’s demand, but it is also resultant from the relative shortage of house supply.
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