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"Given the relevance of confidence, policy measures to preempt adverse market and public sentiment from taking hold would be important," he said.

"Fresh purchase restrictions may be imposed in lower-tier cities if local decision-makers decide to stabilize home prices," said Yang.

"For businesses, the more they devote to innovation, the greater the risks will be. Thus, it is important to ensure their innovation benefits could be fully protected," he said.

"Hangzhou is a very beautiful city with breathtaking scenery and the special charms of a profound culture," said Lang, who is also known as the Grand Canal Hangzhou ambassador.

"Financing through local government financing vehicles is expected to become subject to increasingly strict regulation and more transparency" as the country strengthens risk controls, said Fu Yubin, a sub-sovereign research analyst at Moody's Investors Service.