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China Daily Website

Sky-high priced house in Beijing sees no market

Updated: 2013-06-24 15:47
( chinadaily.com.cn)

A house of 400 square meters, located near the Palace Museum, and priced at 130 million yuan ($21.17 million), was moved "offline" owing to there being no demand for it, the Beijing News reported.

The house is near some of the best primary schools in the capital and it's said ownership of this house means children have the right to attend Beijing's best primary school.

The house with five bedrooms and two living rooms, is a siheyuan, or traditional quadrangle courtyard, and costs the equivalent of 325,000 yuan?per square meter. The highly priced house has been nicknamed the "new center of the universe" by Internet users.

The estate agent for the house said it had been on sale online for two months but few people showed interest, due to its high price. Now the house has been taken offline.  

"Compared with similar courtyards nearby which cost about 100,000 yuan per square meter, this one is just too expensive. No wonder no one is interested in it. What's more, it's not as has been rumored that the ownership of this house means children can go to a famous primary school nearby," said a staffer of the agent.

"Sky-high priced houses hyped up online are just extreme and rare cases, which do not reflect the general market conditions and are not suitable for people with rigid demands," said Zhang Xu, an estate analyzer with Home Link House Agents.

"Houses with unreasonably high prices usually have no market. They should not be overly hyped otherwise they can mislead market expectations and are not good for the stability of the house market," added Zhang.

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