BEIJING – Pre-sales of homes in China hit their lowest share of new home sales in 18 years as more consumers shy away after a number of cash-strapped developers halted construction.
Pre-sales allow real estate developers to recoup their investment more quickly, making it easier to proceed with new projects. It has become the main method of buying a house in China and has helped expand housing supply. Homeowners can shop at a discount even as the market expands and prices rise.
