August Chinese house prices rose to record highs since December

According to foreign media reports, the latest figures show that August Chinese house prices rose to the highest record since December last year, and SouFun (Nyse:sfun) benefited.

The data showed that in August this year, China's house prices of 10442 yuan per square metre (based on the survey of 100 cities in China), the year-on-year growth of 8.6%, the highest increase since December last year.

Reported that higher housing prices mean more real estate transactions, but also represents the SouFun to bring more business. In Tuesday, SouFun shares rose 8.5% to 45.4 dollars. SouFun shares have surged 80% per cent since the quarter.

Still, Wall Street doesn't think SouFun is overvalued. J.P. Morgan released its investment report August 30, giving SouFun shares a "overweight" rating, setting the target price at $49 trillion.

Wall Street expects SouFun earnings to reach $3.25 trillion per share in fiscal 2014. From 2014 to 2015, soufun revenue will rise to 16.4%.