“In Beijing, the average price of a newly-constructed unit dropped to less than 20-thousand yuan per square meter, more than 10 percent lower than the same period last year. This is also a month-on-month decrease of more than 26 percent.
The biggest hit occurred in Beijing, but declines of more than 40 percent were also registered in cities like Nanjing and Hangzhou. Among 23 property projects currently on the Beijing market, only seven have achieved 50 percent sales rates.”
“According to Chinesecrash.com, there are approximately 64 million vacant apartments in China, essentially creating “Ghost Cities.” These vacancies are due in large part to the increasing divide between China’s rich and poor leaving many without adequate housing.”
“The hottest question in Beijing is whether the country’s real estate boom is really a bubble, and if so, when it might burst. Given the possible impact of a China property meltdown on the world economy, this is a pretty fateful issue. I can’t give you much more than anecdotal stuff. But, I must say, the market looks pretty fizzy to me. ”
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