Topic: How do you think about the housing price in China? - page 2. (Read 3044 times)

China has always been a country that goes through similar issues that Western Countries faced by they seem to lag behind with the issues by some amount of time, in my opinon we're going to see some sort of housing bubble collapse in China due to the rapid growth of pretty much every sector in China which is leading to insane amounts of housing sales.

As we know, this is the same issue that the US faced and it blew up in 2008 when it officially came to light that mortgages were being given to people who really couldn't afford them and companies started going under. Probably going to see the same thing happen in China at some point.

Housing prices will fall, they'll just have to go through some sort of correction period like the US did.

The high housing prices have nothing to do with the one-child policy. On the other hand, if the policy was not there, then the prices would have been even higher. The main reason is the heavy migration from rural areas of China to the major urban centers. The government has completely failed to create jobs in the rural regions.

I think that a lot of those houses are being used by Chinese officials to park unneeded funds. This creates a massive housing bubble and younger generations can't find anywhere to live, but to rent out.

Same thing here in Australia, people are rushing to buy every house they can find in Sydney and Melbourne because the sheer number of Asian immigrants that have considerable wealth brought into the country with them.

Every time you go to auction, you'll see like 50 Chinese people.

I guess wherever Chinese people go, they'll drive up the housing prices. But obviously it's a bubble, it's going to pop sooner or later.

We all know that China has one hell of a population. They are so many that I think they have a law concerning about how many kids can be born in one family. That's why the price of housing there is really high, there is a high chance that someone will try to rent in your property especially if it's in the main city like Beijing.

The population growth rate in China is not that high. But the demand for urban housing is increasing due to the migration from villages to the cities. But in due time, this will stabilize, as the immigrants from villages to cities (mostly job seekers) will be balanced by return-migrants (mostly retirees) who go back to their villages.

The crazy thing was buying the tractor also and parking it on site.

Actually I don't find it 'crazy' exactly considering the constellation of issues.  The number of privileged people who are not yet obsolete are shrinking and the rate is predicted to turn rapidly exponential in the fairly near future.

I've thought about it a little bit and, not being a Libertarian purist, I think a solution worth exploring would be to tax automation up to the point where it is something of a wash whether one automates or goes old-school and hires humans.  In this manner I would hope to avoid the inevitable easy-way-out of just covertly killing off the useless eaters and sterilizing the ones who remain.  Of course that would work also and has it's appeal to some of those who currently hold power.

Paying 1000 daily workers in china and india for 1 year cost less then or around buying a machine for 100.000 $.

A bit crazy yes.

I heard tales that rural Chinese were being rounded up at gunpoint at a rate of million/month and re-settled in the former 'ghost cities'.  When I checked up, it seemed like there was at least a little bit of credence to the story.  Oldsters (late 40's plus) kind of wandered around playing bad-mitten without much to do.  At least they were not being made into soy-lent green.  Yet.

Presumably the rural lands are being aggregated into corporate ownership.  At least the ones not given to UNESCO to become 'world heritage sites'.  Pretty much just what U.N. Agenda-21 calls for.

I've heard that when the Soviet Union fell apart the govt gave oldsters their flats for life.  When the Oligarchs bought the buildings the death rate of oldsters in certain buildings increased markedly.

Seems like the only thing worse than collectivism is 'moving on' from it.

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Another thing I noticed when I was in Beijing was it was like a fireworks show at night from the arc welding in buildings under construction.  As I wandered around it seemed like without exception every fuckin one of the workers was quite old, or at least looked that way.  Someone told me that young people in Beijing simply refused to do physical work.

Another construction story.  This one from India.  Bangalore which is sort of the Silicon Valley of the nation.  I watched women carrying dirt in baskets on their head from one side of building foundation to another.  Decked out in sarees even!  They actually had to step around a parked wheel hoe which could have done a woman/day's work in about 1 minute.  Local politics made what looked outwardly like insanity something which probably did make some sense in a funny way.

In large cities, available space to build houses so declining home prices will rise, poor people will live in apartments and over time will be more renters because it will be further impoverishment of the people.

I presume that corruption is rampant.  Doesn't matter a whit what the codes say (if anything.)  The only thing which probably matters at all is whether the inspectors will accept the bribe you are willing to pay.

Public demand would go a long way toward inducing better construction but as far as I can tell that was almost completely lacking.  I don't think it even mattered to the peeps what the place was like in this respect or even what it looked like.  The only thing which seemed to matter was in what year the construction took place, and it seemed to need to be within the last three years or so in order to be acceptable as a status symbol.

Yesterday i saw a real estate offer at my bank:

House 130 m2 + 600 m2 land for just 40.000 €.
House is from 1935 but for something in the heart of europe it isnt bad at all...

This is quite shocking. People are paying so much for these new apartments, and in the end they are getting low quality flats. I was always thinking that the civil authorities were strict in China. Why the authorities are not doing anything against this? Or is it due to the fact that the customers are happy with the apartments they got?

I noticed when I was in Beijing around 10 years ago that people were almost neurotic about wanting 'new' places meaning recently built.

The funny thing was that the quality of new construction was astonishingly poor.  I lived in a place which had plumbing problems that cropped up even before the building was complete.  The pipes corroding amazingly quickly and were embedded in concrete making them impossible to get to.

A low-res picture of my apartment looked outwardly like a luxury place, but up close things were amazingly chintzy.

I had the pleasure of watching some construction of a home within the first ring, and visiting a house within that ring.  Very different story with respect to workmanship, although the appearance was very plain and traditional (and, to me, pleasing.)  I believe that real estate within this zone is extremely expensive and nearly impossible to obtain, but also that it is not at all the norm in China.  Maybe most cities have such zones.

I have heard that the public transport system is very cheap and efficient in China. If that is the case, then it may be a good idea to purchase a house in the outskirts, rather than going for one in the inner city. It can save a lot of money for the buyer.

Today it is very popular to buy property in China. You can not even think about deception. Responsibility for such a "deal" is punishable by a term of 10 years in prison to the death penalty. The cost of purchasing one square meter costs an average of 400-500 $, in addition, a pleasant moment will be the cost of utility payments. Which is much smaller than in other countries.

I'm talking about the downtown areas, the price in Futian/NanShan District can even be 150 million or even higher, it's truth that happening in this country.

While the price in lower tier cities is much cheaper than the first-tier one, something like 200K dollars or lower.

If you look at the level of the automobile market, then China is very much appreciated because of the high demand for premium cars, and this already shows how rich people live in China.

From where did you get this information? Look at the average wages and living conditions before the industrialization, and compare that with the situation now. I am sure that you will find out that the conditions have improved for 99% of the people.

Industrialization and prosperity in the U.S. was associated with the decline in families and predation by the super rich on the poor.

China has a lot more history than the U.S., traditions like Buddhism and Taoism etc, so we'll have to wait to see if they are also dragged down by wealth.

I think that's the case for visitors from countries like the US and Europe. The high exchange rate gives them more bang for their bucks. I can see why there are people retiring here to the Philippines despite the summer weather and security concerns. If you're from a developed country, you'd find cost of living in developing countries much cheaper than what you were accustomed to.

I'm still curious how those high-rise complex in China are managed though. Would be nice if there's anyone here from China to talk about it. If all those buildings are public housing, then kudos to the government.