Chinese officials pledged to stabilize the real estate sector at a crucial political meeting but avoided major stimulus measures. The central government will implement city-specific policies to control new supply and reduce inventory, according to the national parliament work report. Policymakers will also explore ways to revitalize existing housing stock and encourage affordable housing acquisitions.

This approach shows Beijing's reluctance to announce sweeping stimulus amid an economy losing steam, even as real estate likely represents 17% of China's economic output this year. The financial hub of Shanghai eased homebuying rules last month, while Beijing relaxed rules for non-resident buyers in December. Despite these efforts, China's more than $1 trillion new home market remains fragile, with sales down over half from 2021 peaks and triggering $130 billion in defaults including Evergrande's collapse.