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Currently the housing price index in China is at 115/100 points in reference to 2010 - down from a peak of 145 in 2021. That is what, 15 years and counting of
by Tade0 7mo ago
Currently the housing price index in China is at 115/100 points in reference to 2010 - down from a peak of 145 in 2021.
That is what, 15 years and counting of waiting for the market to return to affordability despite using more concrete every 2-3 years throughout this time than the US did in the entire 20th century?
To quote Kimberly Wilkins: ain't nobody got time for that
Now, inevitably, the pendulum went the other direction - people lost money and companies went bankrupt.
You can't play fast and loose like that with such a basic need as housing.
- bpt3 7mo agoWhy is the cost in 2010 the maximum limit for affordability? Chinese household income has (supposedly) increased significantly over that time.
- Tade0 7mo agoThe price to income ratio is actually more damning: https://en.macromicro.me/series/5433/china-housing-price-to-income-ratio?utm https://en.macromicro.me/series/5433/china-housing-price-to-... Considering the absolute number houses in China were not affordable at any point in recent history. 2010 is often cited as a reference point, most likely because it's when the Chinese stock market started experiencing a slump despite the initial post-2008 recovery, so investments shifted into real estate: https://www.macrotrends.net/2592/shanghai-composite-index-china-stock-market-chart-data https://www.macrotrends.net/2592/shanghai-composite-index-ch...