If Southern Weekend's report proves true, regulators are making more substantial concessions. Conventional wisdom has been that the government would ease up on third - and fourth-tier cities but keep tight controls on second-tier ones such as Hangzhou and Nanjing.

More than 40 cities have imposed various curbs on home purchases since 2010, when prices surged. These policies have gone some way toward curbing the speculation that drove up prices.

Besides developers, many of which have cut prices, local governments were the most willing to loosen, since taxes on housing transactions and sales of land to build apartments contribute the bulk of their revenue.

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The central government, however, wouldn't budge, even as signs of market weakness emerged and spread.

Beijing's previously unyielding stance has made its apparent lenience this time worth noting.

One sign of concern from the central government came earlier this month, when the central bank urged the nation's biggest lenders to accelerate granting of home mortgas time worth noting.

One sign of concern from the central government came earlier this month, when the central bank urged the nation's biggest lenders to accelerate granting of home mortgages.

Liu Weimin, a researcher with the Development Research Center of the State Council (China's cabinet), said the central bank's move was meant to prompt a change in banks' handling of home mortgages, but it didn't necessarily equate to a "stimulus".

"The central bank can offer 'guidance' but that does not necessarily mean banks will fully comply. I think the government's aim is to prevent a deep dive, not to jump start the property sector," Liu said.

The new leadership has shown a new attitude toward the property market by stressing a "differentiation" strategy. It has vowed to increase supply in the largest cities, where demand is still strong, while controlling supply in smaller cities where inventories have risen to worrying levels.

In a Thursday interview in Kigali, Rwanda, People's Bank of China Governor Zhou Xiaochuan said China has a housing bubble only in "some cities," an issue that's difficult to resolve with a single nationwide policy.

China is a big country with multiple housing markets, many of which are still drawing new inhabitants from the countryside, Zhou said.

"China is still in the process of urbanization, so there may be volatility in the supply-demand relationship," Zhou said. "But if you look at the medium-term trend of urbanization, I think we still have a very good market for housing."