China’s new home prices across 70 cities fell 3.5% year-on-year in May 2026, matching April’s pace. It marked the 35th straight month of decline and remained the steepest drop since May 2025, highlighting persistent weakness in the property sector. The data suggest that existing policy support has yet to revive housing demand or restore market confidence amid subdued buyer sentiment and excess housing supply. Among major cities, price declines persisted in Beijing (-2.1% vs -2.3% in April), Guangzhou (-3.3% vs -4.4%), Shenzhen (-4.5% vs -5.3%), Chongqing (-4.7% vs -4.8%), and Tianjin (-4.7% vs -5.1%). Meanwhile, prices in Shanghai rose more slowly (3.2% vs 3.7%). On a monthly basis, new home prices edged down 0.2%, after a 0.1% decrease in April.