China prices up .5% month on month 9% year on year

 China prices move back up

Merrill said Chinese officials were undoubtedly reacting to the data of rebounding house prices when they imposed tougher measures to curb prices in late September.

As part of those measures, Beijing lifted the size of down payments needed for first-home purchases in some major cities, excluded developers with idle land holdings from taking part in public land auctions, and unveiled tax exemptions for those companies who build public housing.

The first time homebuyer loophole could be easily exploited by buying clubs. The original curbs weren't going to work as designed for that reason alone. More importantly, every group running a buying scheme will suffer a financial collapse if they don't sell and buy the next property; they are on the treadmill. Given the downside of backing off, will any curbs actually work? Even a tax will seem cheaper than injecting personal cash to cover positions and getting out.