Draconian moves

This figure exacerbated the public's worries and discontentment, even though the government has moved recently to cool the overheated property market.

Property speculation coupled with ballooning lending last year, has continued to lift prices.

But according to Chen, property prices may well fall in the big cities this year. "Gradually the government polices will influence the market," he said.

The Ministry of Land and Resources announced on April 15 it planned to increase the land supply available for residential property building this year to 180,000 hectares from 76,461 hectares in 2009.

"This move hit the mark, as it will help reduce land costs and curb soaring home prices," Chen said.

Governmental authorities have also introduced new restrictions on loans for third home purchases and raised minimum down payments for second home purchases to try to decrease property speculation.

Lian Ping, chief economist of the Bank of Communications, China's fifth largest lender, told Xinhua that the government's timely steps could stifle the growth of asset bubbles.

Caution detected but more efforts needed

Potential home buyers and investors have already become more cautious in making decisions after a string of government measures were recently implemented.

Official data revealed that 738 existing homes were traded in Beijing between April 17 and 21, 13.9 percent lower from the amount a week earlier.

Chen Ying, a 25-year-old college graduate in east China's Jiangsu Province, said she planned to buy a small apartment with financial help from her parents in early April, but now she is hesitant.

"Some property developers in Nanjing are offering discounts. But my friends feel like me that government efforts to cool the property sector may affect prices, so it's better to be conservative for now," said Chen Ying.

However, many analysts hold that more measures are needed, including building more affordable homes for low-income city dwellers, collecting property tax from speculative home buyers.