Chinese families search for bigger homes as two-child policy means 17million babies could be born by 2021

China’s switch to a two-child policy has sparked a rise in sales of large three or four-bedroom homes in major mainland cities.

Many couples in cities like Beijing and Shanghai are making early preparations for bigger families by hunting for larger homes with a better environment.

Real estate agents say interest in larger flats bloomed upon Beijing’s October announcement that it would be relaxing the one-child policy. The government estimates the change, which came into force on January 1, will result in an extra 17 million babies being born within the next five years.

“The impact of this policy is huge on residential markets,” said Cai Shiyang, a veteran agent at Maitian Real Estate in Beijing.

“During the past few months, people have been snapping up three and four-bedroom flats. In the area we cover, all the available three-bedroom flats at reasonable prices have sold. Many of our customers have to wait for new flats to come out.”

Cai’s team covers the Asian Games Village area in the north of Beijing. In the past, larger units accounted for less than 30 per cent of all deals, with buyers put off by high prices and the higher tax rate for flats larger than 970 sq ft. Most turned to one and two-bedroom units. “But now, half of our deals are for these large units,” he said.

Stella Nie, a Beijing office worker, learned from a real estate agent in November of interest in her four-bedroom flat in the western Fourth Ring Road area.