China’s property slowdown is now in its third year and there’s still no clear sign of stabilization, meaning the drag on sentiment and consumption continues. Against that backdrop, economists at Goldman Sachs including Chelsea Song and Andrew Tilton have taken a look at the sector. They find:

“Top-tier cities are more likely to reach a price bottom sooner, driven by stronger migration inflows, lower inventory levels and the recent easing of housing purchase restrictions, while the house price recovery in lower-tier cities is likely to be prolonged.”