<p>[Real</a> Estate Prices Fall in China, Inciting Anger and Applause: Adam Minter - Bloomberg](<a href=“Bloomberg - Are you a robot?”>Bloomberg - Are you a robot?)</p>
<p>Hot economy, money got to spent somewhere.
RE is 12% of GNP, not including accessories to furnish unit.
USA, the Europe, next China?</p>
<p>It was the government policy that caused the down fall. Nothing to do with China’s economy. The government burst the bubble before the bubble burst by itself.</p>
<p>The Chinese have also been investing heavily in RE in HK, Sydney and Vancouver. I wonder how it will impact our RE market, which has been hot and very high for a very long time in these places. Where we live, bare small lots start at 1 mil…and our house has gone up 200% in 7 years. I’m not talking about immigrants, but rather Chinese residents buying and building outside of China.</p>
<p>just where do you, starbright. ?
One million bucks can buy someone a Verry MAGagnificent lot on the Oregon coast, and in most places with a pretty good house.</p>
<p>Believing anything coming from the Chinese government is a mistake</p>
<p>"Believing anything coming from the Chinese government is a mistake "
Now THAT statement is something I do believe!</p>
<p>Longprime, one of the cities I mentioned. I’m not sure of the solution but I do worry very much about it all imploding. I’m not anti-foreign ownership but rather I do worry about the bubble bursting on so much speculation. </p>
<p>Not sure it’s the right move, but our govt could potentially reign it in somewhat by possibly changing foreign ownership laws, or taxing such property differently. But even if it was the right thing to do, there is little political will for it because it fuels the current economy and developers have a huge amount of clout in our neck of the woods. </p>
<p>FWIW, average house price is 1.1 million citywide, and a newish 2500 sqft home in our area is about $3mil. BUT…the median income is only 69k! Though I should add, the ‘on paper’ median income is misleading as many folks (such as almost exactly half our neighbors and the parents at our kids school), earn income in HK or China, and unlike the US, income earned outside the country isn’t taxed, so it’s grossly underreported. Then there is the marijuana industry (estimated to be about $21 billion a year), which obviously doesn’t show up in the income calculations either. These factors aside, however, there is a big disconnect between housing costs and the income for very many. </p>
<p>Last year our real estate went up 17%! I wish we could buy out of this bubble.</p>
<p>"“Believing anything coming from the Chinese government is a mistake "
Now THAT statement is something I do believe!”</p>
<p>LOL. Ditto here.</p>
<p>there are entire empty cities in China… they have their own huge housing bubble.</p>
<p>I don’t think things are as rosy in China as the general public media perception seems to indicate.</p>
<p>If anyone doesn’t think China has a RE bubble problem, read this article and watch the video. You may change your mind. </p>
<p>[China’s</a> ghost cities and the biggest property bubble of all time | Grist](<a href=“http://www.grist.org/cities/2011-03-31-chinas-ghost-cities-and-the-biggest-property-bubble-of-all]China’s”>China's ghost cities and the biggest property bubble of all time | Grist)</p>
<p>PS - google ‘China ghost cities’ for similar articles</p>