OREANDA-NEWS. Fitch Ratings says in its latest China Property Watch that the recovery in China's housing market continued in June 2015 as monthly contracted sales growth accelerated and new home prices rose further in Tier 1 and 2 cities.

Homebuilders have been conserving liquidity, though, and their land purchasing activities remained weak. They instead chose to replenish their land banks by acquiring controlling stakes in peers or existing projects. Most Fitch-rated homebuilders reported strong contracted sales growth in June. Offshore bond issuance by Chinese developers recovered modestly compared with that in the previous month.