China’s housing market showed further signs of strain at the start of 2026, with residential property prices falling at a faster pace on a year-over-year basis. In January 2026, house prices declined by 3.1% compared with the same month a year earlier, according to data updated on 13 February 2026. This marks a deterioration from December 2025, when prices were down 2.7% year-over-year.
The widening annual decline underscores persistent weakness in China’s property sector, a key pillar of the country’s economy. The January figures suggest that downward pressure on prices has not yet stabilized, even as authorities have introduced various measures in recent years aimed at supporting demand and containing risks in the real estate market.
With the latest data showing a steeper year-over-year drop, investors and policymakers will be watching upcoming monthly readings closely for signs of either stabilization or further acceleration in the downturn. The comparison framework highlights that each month’s performance is measured against the same month a year earlier, making January’s deeper fall a clear indication that the housing correction intensified at the outset of 2026.
