Thinking about taking the plunge into the market to buy a property and wondering what others are thinking. Market is clearly overheated and has changed to a "buyers" market. I am buying for myself and still think long term it could be a good investment (or at least hedge for RMB / USD exchange which is killing me now!).

Any advice or thoughts?

Thanks

people are watching instead of buying.

Governments are now serious about controlling prices. But on the other hand, not many will think that there will be a big plunge in real estate prices.

Not sure whether it is worthy of investment in real estate. But more likely, real estate market will have a soft-landing so long as the other sectors of Chinese economy are not doing too bad. Taking into exchange factor, it may make sense to buy real estate now at least to hedge exchange loss.

What kind of property are you interested to buy?

if you buy your house without loan, you can buy now, if not, wait till the beginning of 2012.

dhli wrote:...still think long term it could be a good investment (or at least hedge for RMB / USD exchange which is killing me now!).

What are you talking about ? Rmb rise is 6% for last year, bank deposit rate 3,5% = together ALMOST 10%.

Are you that guy which been sent to the Moon and just dropped back ?

BIG YES...
Lots of Chinese are buying real estate now......
specially in Vancouver, California and Florida

Down Jones - I get paid in USD so my an 8,000,000 RMB house today is about 15% more expensive to me than it was when I came to Shanghai about 4 years ago. Also, as an expat, what else should I put my money in these days???

jtchinese - why wait until 2012?

dhli wrote:Down Jones - I get paid in USD so my an 8,000,000 RMB house today is about 15% more expensive to me than it was when I came to Shanghai about 4 years ago. Also, as an expat, what else should I put my money in these days???

jtchinese - why wait until 2012?

Probably a stupid advice, but

Sell it at the best price..
Buy a "Real House" in a good area in the US, and rent that out. You can get a really good one for 60-70% of your apartment in Shanghai. (house?)
Keep the extra money in RMB and watch it appreciate
Just rent a flat

dhli wrote:Down Jones - I get paid in USD so my an 8,000,000 RMB house today is about 15% more expensive to me than it was when I came to Shanghai about 4 years ago. Also, as an expat, what else should I put my money in these days???

jtchinese - why wait until 2012?

Are you saying this 8m house has appreciated only 15% over the last four years. Cannot be this. It should probably double the original value over the last four years.

If you do want to buy a house, I would suggest that you buy old houses in the French or British concession areas. Those houses would be more resilient in downwards turn of the market. But that will generally costs your more than RMB 15m.

My apartment is on the market. Have owned it for 5 years, and it has appreciated in value for a gettable gain of 175%, so don't know where the 15% comes from.

The market is a bit flat, but not falling. I would say is a buyers market, but only for long term.

No I was just saying that a 800M RMB apartment for me to by in USD is 15% more expensive than 800 RMB about 4 years ago given the exchange rate difference. When I arrived it was like 8.1 RMB to 1 USD and now its like 6.4 with forecasts going to 5 in the future. I am fully aware of the actual real estate appreciation over the past few years (and congrats to all those who made their mint!).

Monalisalee - are you seriously selling your apartment? Send me a PM with the details!

Dave

dhli wrote:4 years ago given the exchange rate difference. When I arrived it was like 8.1 RMB to 1 USD and now its like 6.4

4 years ago it was 8.26 , right ?

yeah something like that - don't remind me!

8.26 in 2004, 8,06 in 2005, and ~7rmb/$ 4 years ago.

Dude, welcome back to the Earth !

PS: in past 3 years property price has rise for 50-100% (depend the city).