China's housing prices may decline in the second quarter of this year, as a result of the country's property control measures and a series of interest hikes, the Shanghai Securities News reported Thursday.

Among the 30 large- and medium-sized cities monitored by China Index Academy, nearly 80 percent saw a year-on-year drop in property sales, with Beijing leading the trend with a fall of 48 percent.

Shanghai's property transaction in February and March fell to the lowest level in six years during the same period, after a bundle of tightening policies, said Xue Jianxiong, an analyst at China Real Estate Information Corp.

Related readings: China raises Public Housing Fund lending rates  Beijing wants private investments in public housing  MCC to expand its affordable housing biz on mainland  More affordable housing

In contrast, property prices did not experience a material decline in March despite the policy grips. Among the 100 cities monitored by the academy, 82 saw their housing prices rise from February.

However, the latest interest hike on April 5, aimed at taming inflation and asset bubbles, would add another blow to the property market and drive down property prices, said analysts.

Rising interest rates would set property developers in a financial strain, and dampen individual mortgage loans, said Yang Hongxu, a senior researcher at E-House China Research and Development Institute in Shanghai.

Property developers would feel more of the punch of the interest hike than home buyers this time, said Luo Yinshen, a researcher at Century 21 China Real Estate in Shanghai.

Developers are likely to cut prices to stimulate housing sales in the second quarter of this year, in order to retrieve capital and secure their financial chains, Luo said.