It will help tame speculative housing purchases, not only residential but also commercial properties, Ni said.

"The property tax is unlikely to come out in the next two to three years as it has to go through complicated research and law-making," Liu added.

Property market shows signs of cooling down

Home price growth slows, further moderation eyed

Property developers seem to have no patience. They rush to roll out new projects in tourism, elderly care and cultural real estate. But they are more about hype and lack quality.

The past year has seen a boom of elderly care housing projects. Over eighty property developers including Vanke, China's largest real estate developer, rolled out projects to cater to the growing demand in a rapidly aging society.

"Diversified products are important for market transition as China is updating its consumption pattern, but overall operation capability is key," said Chen Huai, who believes that many themed property projects are just pretenses to cover intentions of land grabbing.

Competition not only comes from within, but also outside. Chen reminded property developers to keep an eye on the Internet.

House.sina.com.cn, an online real estate service platform under Internet company Sina, has rolled out a micro-blogging platform to sell properties, challenging traditional real estate marketing approaches.

"Compared with policy changes, technological challenges may pose to be a tougher rival," Chen said.