House prices in key cities continue to trend down

House prices in key cities including the capital are continuing on their way down-a trend that has been observed for the first time over several quarters-as a result of tightened policy controls, according to a new report released by the Chinese Academy of Social Sciences.

The report said prices in Beijing in May fell 4.09 percent against April and cities neighboring the capital also retreated in price. In Tianjin, home prices in May were down 1.97 percent month-on-month and in Langfang, Hebei province, which borders Beijing, prices dropped 8 percent.

The report said that Shenzhen, Suzhou, Hefei and Zhengzhou - which experienced double-digit home price growth in past months - saw their prices lower or with little change last month.