Property market collapse ruled out

China's real estate market will not collapse as happened in Japan two decades ago, because the situations of the two countries are very different, Minister of Housing and Urban-Rural Development Chen Zhenggao said on Tuesday.

"It is not appropriate to compare the real estate market in China with that of Japan in the 1990s, as the two countries are in different stages of economic development and urbanization. We also have different macro policies to control the situation," Chen said at a news conference.

Chen's remarks came amid growing concern over the potential risks in China's real estate sector as home prices in Beijing, Shanghai and Shenzhen have surged by 20 to 30 percent since the Lunar New Year. In Shenzhen, prices have increased by 72 percent over the past 12 months, according to the Shenzhen Urban Planning, Land and Resources Commission.