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If China finds itself in a major real estate crisis, changes to lease length and allowing foreign investment would immediately right bring back growth and deman
by sambroner 8y ago
If China finds itself in a major real estate crisis, changes to lease length and allowing foreign investment would immediately right bring back growth and demand. Other consequences ignored.
Although the supply is artificial, there’s a huge supply of dumb money as well.
- sorenn111 8y agoI don't think with china's regulatory framework and government's ability to rapidly change housing supply that foreign investment would use it as a store of capital.
- mikestew 8y agoCould I even buy a house in China? Without looking it up, I do know that foreign real estate investment isn't as easy as it is in the U. S.
- seanmcdirmid 8y agoDepends on the city. In Beijing, you have to be a resident for 5 years (paying city taxes) before you are able to buy; a rule that enforced for both foreigners and Chinese without Beijing hukou.
- mikestew 8y agoCool, thanks for the clarification. My source was my brother-in-law in Beijing, who I was only half-listening to at the time, leaving me fuzzy on the details.
- kevin_b_er 8y agoEven if you could, the rule of law is nearly absent in china. Your real estate investment could be destroyed by a CPC official relatively swiftly without recourse to you.
- _bxg1 8y agoTrue. The pipe dream would be that this weakens their authoritarian government, but a more conservative hope could be that it forces them to open up to foreign investment.