Home prices in key Chinese cities hit highest in more than a year, risk of bubble is rising, warns state think tank

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China's housing market is recovering rapidly from the coronavirus lockdown, with prices in key cities hitting the highest in one year and a half.

Second-hand home prices and transaction volumes showed fast recovery in key Chinese cities in April, including tier-one cities and top one among tier-two cities, while rents dropped rapidly, according to a report released by the National Academy of Economic Strategy at the China Academy of Social Sciences (CASS), a top government think tank.

"Usually, when home prices rises fast while rents drop, it indicates the risks of . . .

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