|China's central bank has discovered a backflow of private investment into the real estate market in the fourth quarter after consecutive macro-control measures by the government failed to significantly bring down skyrocketing home prices.
The bank said Wednesday that the real estate market again became the biggest pool for investments in the fourth quarter, following a survey of 20,000 residents in 50 cities, "The Beijing News" reports.
According to the survey, 45.2 percent of respondents said they were inclined to increase their investments, while 37.6 percent favored bank deposits. It was the first time this year that the percentage of investment-favored residents outpaced those who said they preferred deposits.
The survey also indicated that the domestic market attracted 26.1 percent of pro-investment residents, outnumbering mutual funds products and stock investment.
Wan Yumin, General Manager of First Title Real Estate Guaranty Company, said worsening inflation was behind the thriving assets investment.
The survey also indicated that future inflation and soaring prices were among the top concerns of Chinese citizens as 73.9 percent of residents said they were dissatisfied with the current price level -- the highest in 11 years.