China's property market heats up

       Property prices in China jumped in 54 of the 70 cities tracked by the government in January and the average price change was an increase of 0.6%, the first year-on-year acceleration in 11 months. The resulting growth was so red-hot that many analysts feared a bubble was developing. Recent rise in property prices pressure the government to tighten policies. Indeed, the government is signaling some action.China's State Council said that cities where prices have increased too fast will be asked to have some measures to change. And in a bid to maintain supply, the council said it would guarantee land supplies for housing projects at no less than last year's level. In my opinion, these measures might make it harder for poor people to find affordable housing. Moreover, people with multiple houses will want to sell their houses because they could profit off the houses they have purchased.

http://money.cnn.com/2013/02/22/news/economy/china-property-prices/index.html