Chinese National Statistics Bureau said new home prices dropped in the month of January, posting the worst record in a year, as the government reaps the fruits of its policies over the past two years to push house prices down to reasonable levels.

The index which covers 70 cities showed that prices slipped in 47 cities, including the nation's four major cities of Shanghai, Beijing, Shenzhen and Guangzhou, while lingered in the other 23, where the sharpest fall was recorded by the city of Wenzhou which plummeted 0.6%.