Are you aware of the fact that right now China is on a housing crisis of its own, brought on by the fact that most households have no way to create an investment of their own to save for retirement, except for real estate, leading to some of the highest prices in the world?
90% of families in the country own their home giving China one of the highest home ownership rates in the world. What’s more is that 80% of these homes are owned outright, without mortgages or any other leans. The only people who will have a crisis are financial capitalists who overinvested in the real estate sector, and they’re not getting a bailout like they would in the west. Meanwhile, houshold savings in China are record high, and the economy is growing at 5.2%.
Maybe update your propaganda talking points there. 😂
80% owned outright my ass.
https://www.statista.com/statistics/1214346/china-value-of-real-estate-housing-mortgages/
Most current state put them at 40 trillion yuan in mortgages (5.5 trillion USD)
And their home ownership rates aren’t surprising when you consider how they have been pre-selling homes before they are even built. Which is backfiring horribly with those housing companies going under because they can’t finish the homes fast enough.
Most current state put them at 40 trillion yuan in mortgages (5.5 trillion USD)
If you had a clue regarding the subject you’re opining on, then you’d understand that these figures aren’t mutually exclusive. Vast majority of people in China own their primary homes, that’s where 80% ownership comes from. In additions, people and companies buy up secondary properties, which is where the mortgages come from.
backfiring horribly with those housing companies going under because they can’t finish the homes fast enough
Do elaborate how it’s backfiring on anybody but the financial capitalists who invested in these ventures.
If you actually choose to bother to check out pricing in most Chinese cities, you would come to realise that the pricing is very similar to the London center. When you consider that the average salary in China is much lower than in the UK, most Chinese are only able to buy houses with help from their parents and grandparents. Add to that the lack of balance between genders due to the ruinous one child policy, and the cultural norm of property being a requirement before even trying to propose to someone, and you got a housing bubble that looks set to burst.
