China is making significant efforts to stabilize its property market, a key driver of economic growth but also a major risk. Steps taken include upgrading old communities to optimize land use and drive construction, as well as fast-tracking refinancing of low-income housing to absorb inventory. Various government departments are implementing policies to support the struggling sector, with a focus on consuming housing units in inventory and improving market efficiency. Analysts warn of persisting weak sentiment in the market, with BBVA Research highlighting the real estate market as the primary risk to China's economy in 2024. Despite challenges, China saw better-than-expected economic growth in the first quarter, staying on track to meet annual targets. The real estate sector's importance to the economy is underscored, as it accounts for a significant portion of China's GDP. With ongoing adjustments in the market, the Chinese government has introduced new policies, including lower down payment ratios and measures to support distressed developers.