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HONG KONG, Sept 10 (Reuters) – Country Garden, China’s top property developer, and smaller real estate firms are weighing bigger discounts on homes after Evergrande announced its steepest ever discount, analysts and a source said.
Evergrande, China’s second biggest property developer, announced a nationwide 30% discount on all of its properties until the end of the week-long holidays in early October, traditionally China’s peak home buying season.
The move is aimed at boosting sales and cash flow at China’s most indebted developer at a time when profits have weakened.
Steeper discounts from developers come against the backdrop of a sluggish recovery in home prices in smaller cities and ebbing appetite for property market speculation outside major cities due to uncertain economic conditions.
A Country Garden source said the company is planning to launch a campaign in response to Evergrande’s price cut, but the rate of discount