The Chinese government is proposing a direct intervention measure to further regulate soaring property prices, Shenzhen-based Securities Times reported Tuesday.

The not-yet-announced measure will enable provincial-level departments to control the prices of commercial residential buildings when there is a sharp rise in prices, the report said.

The specific measures include restricting developers' profit levels and setting sales prices, the newspaper said.

Analysts said it's reasonable for the government to adopt a pricing system to regulate real estate markets.

Industry insiders said that there are existing laws available if the government wants to regulate property prices. According to the Price Law, the government can guide or set prices for commodities that are scarce or crucial to the national economy and people's livelihoods, the report said. Some local governments already have used the Price Law to initiate market control measures.

Shenzhen's municipal government issued a real estate supervisory and administrative measure in early September, stating that pricing policies and law enforcement departments can regulate property developers' behavior when housing prices exceed normal levels, the report said.