Key Facts
• On June 22, 2025, the People’s Bank of China released new data.
• Real estate loan balance reached ¥53.33 trillion ($7.43 trillion) by June 2025.
• This marks a 0.4% year-on-year increase, the highest since June 2023.
• Growth accelerated from March’s 0.04% increase but remains below pre-2021 double-digit levels.
• Breakdown:
– Residential mortgage balance: ¥37.74 trillion, down 0.1% year-on-year.
– Real estate development loans: ¥13.81 trillion, up 0.3% year-on-year.
• Policy measures aimed at supporting the real estate sector contributed to the recovery.
• Despite efforts, the real estate market’s slump continues to weigh on China’s economy.
Summary
China’s real estate loan balance reached ¥53.33 trillion ($7.43 trillion) by June 2025, marking a 0.4% year-on-year increase and the highest level since June 2023. The People’s Bank of China attributed this recovery to a series of policy measures aimed at supporting the struggling real estate sector. Growth has accelerated since March 2025 but remains far below the double-digit increases seen before 2021. Residential mortgage balances fell slightly by 0.1% to ¥37.74 trillion, while real estate development loans rose 0.3% to ¥13.81 trillion. Despite these improvements, the real estate market’s ongoing downturn continues to pose challenges for China’s broader economic recovery.
