SH house prices rocketing every week, real estate offices opening every day, people talking of 50 000 USD increase in prices within 2 months ......is this real ?? How can this happen ? Would you buy a house in Shanghai ??

buy !

sell !

bought long ago when its safer. Never buy when everyone's shouting BUY.

Yes it's true and I reckon prices will still go up in Shanghai, but I if I were to invest I would look at 2nd tier cities like Tianjin or Chengdu

if you think to buy to live in, buy!
if you think to buy as speculation...better think twice.

well don't speculate now, next month the 5 year selling rule is coming back.....to avoid speculation

believe me, Chinese government won't let the real estate price go down.

GDP 8% growth relies on that.

There's something wrong with house prices here. My company pays my rent so I'm not bothered about buying, but the rental yield on my apartment is around 2%. WTF?

Yes, the 5 year rule is coming back but does not apply to a place you are living in.

I've had my place for nearly 3 years, and todays value is about 350% up on the purchase price.

As mentioned, I reckon a place like Tianjin is a good place to buy in, as just starting to really take off, thanks to the huge development, and foreign money pouring into the Binhai area.

crivens200 wrote:There's something wrong with house prices here. My company pays my rent so I'm not bothered about buying, but the rental yield on my apartment is around 2%. WTF?

I noticed the same. We rented apt. with market value 1 million for 1700 rmb/m, or 2% rental yield. That seems me is very low profit from property. AND in case if price is NOT RISING - that is a real "freezing of money" because banks % for 1 year deposit is 3% !

there have been quite a few articles in the Chinese press about how most people find home ownership unaffordable in China and that the government acknowledges that there is a "bubble". Take that as a warning that they will try and cool prices, just as they did two years ago by restricting foreign funds into real estate development. If the government is hinting there is a bubble, then there probably is one almighty one. The govt wont fret about allowing prices to cool. And dont forget that most of the prices touted by agents are for new apartments - Chinese dont like to buy secondhand. With all the thousands of units being built, and rebuilt, there is no reason to buy second hand unless it is much cheaper. Also, new apartments give you a fresh lease.

After 10 days we will got the answer.

ProcrastiNation wrote:Yes it's true and I reckon prices will still go up in Shanghai, but I if I were to invest I would look at 2nd tier cities like Tianjin or Chengdu

::OFF TOPIC::

I saw your avatar and thought you might like my take on it.








Ok back to selling yourselves on the idea that property just appreciates like forever and the government won't let it fall.

Delpy wrote:believe me, Chinese government won't let the real estate price go down.

GDP 8% growth relies on that.

HAHA

What 8% growth? Is China now exporting off world?

believe me, Chinese government won't let the real estate price go down.
GDP 8% growth relies on that.

I'm sit here and think, if real estate prices up in 2 times - does it mean GDP growing for 100% ? Or if i appraised my LADA car for 1.000.000 Pounds - does it mean what me beсame Russian Billionaire ? That is good news

The GDP is irrelevant, this is after all the financial capital of China. All it takes is just 10% of the population here to hold up demands of the real estate in prime city locations.

"China’s GDP Surge Is a Facade Masking Highly Speculative Real Estate Investments".

http://nreionline.com/finance/news/chin ... cade_1104/

root wrote:"China’s GDP Surge Is a Facade Masking Highly Speculative Real Estate Investments".

http://nreionline.com/finance/news/chin ... cade_1104/

Build it and they will come . . . .

You just need to look at what's happening in the satellite cities to Shanghai. It's like they've knocked down half of the cities and are re-constructing them. Some of the cities I've been to are building thousands and thousands of new apartments. It seems the population can't get enough housing. Is there a real demand there or is it just using the economic stimulus money to throw up houses financed by cheap loans?

It seems most of the apartments are pre-sold though, creating a bubble that exists much wider than just Shanghai.

Very strange.

crivens200 wrote:Build it and they will come . . . .

Right now they are still pumping it


(fap fap fap)

From what I understand Shanghai, which is populated by 1.25% of the population, produces 10% of the country's GDP. That's some proportion on a per capita basis. What are Shanghai's growth industries, aside from real estate and consequential industries such as Ikea? Insurance, banking, shipping?

^^ Look at the apartment compounds at night - how many have lights on? Even at 1 Park, and 8 Park - they are still empty. Dont even mention Pudong. That will tell you what's going on here. Land hoarding and price manipulation.

HERETIC!!

Nothing bad can ever happen in China!

tihZ_hO wrote:HERETIC!!

Nothing bad can ever happen in China!

http://translate.google.ru/translate?u= ... =&ie=UTF-8

New rule for new year, down payment with loan for purchase 2nd apt - 50%.

Tightening of mortgage would crack down on speculation in two sets of fourth-degree, or to 50% mortgage down payment.

http://translate.google.ru/translate?hl ... 1124J.html

China will exceed 1 trillion deficit next year.

tihZ_hO wrote:

ProcrastiNation wrote:Yes it's true and I reckon prices will still go up in Shanghai, but I if I were to invest I would look at 2nd tier cities like Tianjin or Chengdu

::OFF TOPIC::

I saw your avatar and thought you might like my take on it.








Ok back to selling yourselves on the idea that property just appreciates like forever and the government won't let it fall.

Well done Tihzy

I reckon that's worth 3 gold stars

root wrote:Tightening of mortgage would crack down on speculation in two sets of fourth-degree, or to 50% mortgage down payment.

pointless move.
that only somewhat stops the little fishes.
the whales do not take loans. and they are the one f0cking the market.

^ You just touched on a problem with Chinese economy. Its the whales who have cash businesses with the Chinese traditional "triangle debt" that is a house of cards.