Chinese Existing Home Sales Plunge

[sandwind]

"Second-hand home sales in Beijing fell almost 70 percent in January from the previous month, after the central government issued several policies aimed at curbing prices, the Shanghai Securities News reported today. "

"Home sales in Shanghai fell 51 percent in January from December, the Shanghai-based newspaper said in a separate report."

http://www.fundmymutualfund.com/2010...my+Mutual+Fund)

[ThePythonicCow]

Re: Chinese Existing Home Sales Plunge

"Second-hand home sales in Beijing fell almost 70 percent in January from the previous month, ...

First the sales volume falls, then later on and more slowly, the price falls. That is the way of falling real estate markets.

[touchring]

Re: Chinese Existing Home Sales Plunge

First the sales volume falls, then later on and more slowly, the price falls. That is the way of falling real estate markets.

I think we have to look at February figures as the Chinese central bank got banks to freeze or call back loans mid Jan.
http://economictimes.indiatimes.com/...ow/5529911.cms

More might be needed to quell the "animal spirits".

[metalman]

Re: Chinese Existing Home Sales Plunge

First the sales volume falls, then later on and more slowly, the price falls. That is the way of falling real estate markets.

or so i hear...

[mmr]

Re: Chinese Existing Home Sales Plunge

Not to worry - prices can continue to grow as long as borrowers can just add more leverage. Thankfully, China has improved on the best of American mortgage technology to bring their citizens... ... the third mortgage.

China Regulator Said to Seek to Curb Third Mortgages

No bubble here... move along.

[touchring]

Re: Chinese Existing Home Sales Plunge

Not to worry - prices can continue to grow as long as borrowers can just add more leverage. Thankfully, China has improved on the best of American mortgage technology to bring their citizens... ... the third mortgage.

China Regulator Said to Seek to Curb Third Mortgages

No bubble here... move along.

No bubble...

Fears grow of Hainan bubble

By Geoff Dyer in Beijing
Published: January 27 2010 02:00 | Last updated: January 27 2010 02:00

Hainan, the Chinese tropical island, has witnessed a feverish bout of property speculation since the start of the year, the latest sign that the country's monetary stimulus could be creating bubbles in some asset markets, writes Geoff Dyer in Beijing .
Prices in some new developments in tourist areas of the island have increased by as much as 50 per cent in just a few weeks, real estate agents and developers report.
Soufun, the Beijing-based real estate consultancy, estimates that in the 10 days to January 20, the average property price rose 18 per cent.
Although Hainan is only a small part of the Chinese economy, the frenzied property buying is one of the more dramatic examples of the sort of speculative behaviour seen in a number of other markets. Some economists predict speculation on other assets could soon intensify.


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