China's home prices slightly up in May

BEIJING - Home prices in 100 Chinese cities saw a slight increase in May, an industrial report showed.

Among the 100 surveyed cities, average new home prices increased 0.31 percent to 15,280 yuan ($2,155) per square meter in May from April, according to the China Index Academy, a property research institution.

Year-on-year, the average new home prices edged up 2.99 percent.

A total of 66 cities saw a month-on-month increase in home prices in May, while 34 cities saw home prices decrease.

New home prices in 10 major cities including Beijing and Shanghai averaged 27,672 yuan per square meter, up 0.5 percent from a month earlier. The average prices rose 3.01 percent year-on-year.

China has reiterated the principle that "houses are for living in, not speculation." However, while curbing housing speculation, China will also implement city-specific policies in the sector, according to this year's government work report.

The China Index Academy's report forecast that the real estate market will continue to recover in the near future, but some third- and fourth-tier cities will see market demand pick up rather slowly as it will be affected by demographics and industrial layout.