The Average Price for a Home in 2024: US vs. China
Written by
John Csiszar
Edited by
Levi Leidy
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The housing markets in the United States and China have been on different trajectories in recent months. While homes in the U.S. continue to get more and more unaffordable, prices in China have been on prolonged decline. But what’s the absolute level of pricing in the U.S. and China? Are they equivalent, or is one market more expensive than the other? And what do analysts project for the future? Read on to learn more.
Average Home Prices in the US vs. China
As of August 2024, prices for new homes across 100 cities in China averaged 16,461 RMB per square meter, or about $2,318.50.
In the United States, the average price per square foot is around $233, according to May 2024 data from the Federal Reserve Bank of St. Louis. This equates to $2,508.01 per square meter.
By this metric, the prices for homes in both the U.S. and China are surprisingly similar, with the U.S. about 8% more expensive.
Home Pricing Trends in Both Countries
Home prices have been falling in China for months, but they finally showed signs of life in August 2024. As of July 2024, China’s average new home price in 70 cities shrank by 4.9% year-on-year. This marked the 13th straight month of year-over-year declines and the fastest rate of decline since June 2015, according to Trading Economics. However, in August, prices rose at a 1.76% rate year-over-year, reversing the many months of decline.
In the United States, on the other hand, prices have been booming for years. According to Redfin, the median sales price of a home in July 2024 was $438,837, up 4% on a year-over-year basis. In mid-2020, median home prices were closer to $325,000, marking a 35% price gain over the past four years.
Market Forecasts for Home Prices in the US and China
According to a Reuters poll, the slight uptick in Chinese home prices in August might just be a passing blip. Forecasts call for a net drop in prices of 8.5% in 2024, and an additional 3.9% in 2025. Reuters attributes the housing crash, which began in 2021, to bloated inventories of unsold apartments that have hurt developers’ cash flows, consumer confidence and economic activity.
The United States, on the other hand, is entering an interesting period in which record-high home prices and unaffordability might actually be pushed even higher thanks to the Fed’s stated intent to begin cutting interest rates in September.
What Are the Most Expensive Locations in Each Country?
Just like in the United States, the “average” cost of a home or apartment can vary considerably from city to city and from urban to rural areas.
Here are the most expensive average apartment prices per square meter in China, both inside and outside the city center, according to Numbeo as of September 2024:
- Shanghai: $16,232.05 / $9,021.48
- Beijing: $14,247.31 / $7,431.43
- Shenzhen: $12,879.83 / $6,737.96
- Guangzhou: $10,131.74 / $4,268.22
- Hangzhou: $7,844.92 / $4,279.24
- Suzhou: $6,135.54 / $3,887.41
- Chengdu: $4,106.95 / $2,176.39
- Wuhan: $4,027.91 / $2,313.71
In the United States, here are the most expensive locales, again according to Numbeo’s most recent data:
- New York: $17,732.93 / $12,087.87
- San Francisco: $11,565.82 / $11,019.85
- Boston: $11,536.00 / $6,724.37
- San Diego: $10,448.96 / $7,396.63
- San Jose: $9,918.17 / $10,269.56
- Washington, D.C.: $9,804.26 / $6,521.57
- Honolulu: $8,880.23 / $8,144.68
- Los Angeles: $7,918.58 / $7,745.82
The Bottom Line
On average, home prices in China are not too far from those in the United States. The same is true on the high end, with prices in Shanghai, Beijing and Shenzhen approximating those in New York City and San Francisco. However, statistics rarely tell the full story.
For one, China’s market has been imploding for years, and that trend may continue, whereas prices in the U.S. continue to rise. It’s also worth noting that there are plenty of rural areas in China that are much more affordable than the country’s big cities, or even its overall median — the same as in the United States.
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