Housing prices in China stabilized, and began to fall by the end of 2007. Senior officials have pledged to continue efforts to reduce housing prices. In his government work report, Premier Wen Jiabao emphasized that the government will do more to regulate the real estate industry, while Finance Minister Xie Xuren also vowed to budget for affordable housing.

CRI reporter Xiaoyu has more.

China's real estate industry came to a crossroads as the sales volume of apartments dropped dramatically in major cities like Beijing and Shanghai. Still, prices held fast at a level beyond ordinary citizens' budgets.

China's top real estate development company, Wanke, issued price cuts and discounts on its aprtments, while other real estate companies like SOHO China maintained the high prices.

Xu Liang, an employee with a foreign-owned company in Shanghai, previously worked in Beijing and hoped to purchase his own apartment there. But he complained the apartment was beyond his reach because of the soaring prices.

In 2006, I could buy a 60-square-meter apartment at a price of over 13,000 yuan per square meter on mortgage in Beijing. But now, I cannot buy an apartment after the price increase in 2007.

Xu Liang says he hasn't seen a drop in property prices in Shanghai, either.

Statistics from the National Development and Reform Commission show that the Beijing real estate market was up 17.2 percent, while the Shanghai market rose 10.1 percent in January. The two cities have been the mainland's fastest climbing housing markets in recent years.

To tackle the situation, the Chinese government has adopted a series of macro control measures. These measures did restrain short-term real estate speculation, to some extent. However, these measures did not halt the rising momentum.

To continue efforts in this regard, Chinese Premier Wen Jiabao made a pledge in his government work report:

We need to strengthen regulation and oversight of the real estate market, standardize and maintain order in the market, and promote sustained, steady and healthy development of the real estate industry.

Meanwhile, Finance Minister Xie Xuren also vowed to increase support for building a comprehensive low-rent housing system.

The Chinese central budget will enhance its fiscal support to build up a complete low-rent housing system to solve the housing problems for urban, low-income citizens.

NPC deputy and Jiangxi Provincial Governor, Wu Xinxiong, shared his strategies to enable low-income families to purchase their own property.

My provincial government has offered economical housing to low-income people and low-rent and price-limited apartments to low- and middle-income people. High-income people should buy housing at the market rate.

Experts say all these efforts should help guide the real estate industry onto a healthy road of development at its crossroads.

Xiaoyu, CRI News.