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A Fifth of China’s Homes Are Empty (2018)
31–40 of 191 posts
Re: A Fifth of China’s Homes Are Empty (2018)
#32I watched a really nice 12 mins video[0] on this topic only yesterday. I haven't fact checked it though.
Re: A Fifth of China’s Homes Are Empty (2018)
#33While problematic in the short term, the scale of urbanization and decreasing domicile density alongside rising GDP/capita will allow China to eat through the slack inventory in the coming years. They are adding about 1 NY metropolitan area worth of urban dwellers per yr: https://www.statista.com/statistics/278566/urban-and-rural-p... Urban region Rural regions 2017 813.47 576.61 2016 792.98 589.73 2015 771.16 603.46…
Dont forget there are nearly a billion people who will have to migrate out of low-lying areas on the east of India/bangladesh over the next few decades as sea levels continue to rise. China is wise to have extra housing capacity. Even if they are 'nail houses' ... they only have to beat sleeping in the streets.
That assumes that China will welcome immigration on a historically unprecedented scale. Seems unlikely.
Re: A Fifth of China’s Homes Are Empty (2018)
#34Here’s the rub with Chinese real estate and the economy in general. Yes, it’s true there could be demand for these “modern” homes but the govt can’t afford to increase the standard of living too rapidly (or much at all). Meaningful wage increase will effectively kill the Chinese economy especially as we accelerate into autonomous manufacturing.
Re: A Fifth of China’s Homes Are Empty (2018)
#35It doesn't make much economic sense that these houses are empty. Why not rent them out or sell them for whatever the market will bear?
First three rules of real estate: location, location, location. Would you be interested in renting a 400 sf dilapidated teardown shack in western Kansas, no utilities, five hours from the nearest big city, no local jobs, and not near anything of consequence? As young Chinese flock to the large cities, they might have grown up in something similar to the above, but just because they're leaving it behind doesn't take i…
The article says these are urban homes, not rural ones.
Re: A Fifth of China’s Homes Are Empty (2018)
#36For context, it's been estimated that there are around 18M vacant homes in the US, though it's difficult to find a reliable source for this information. https://www.google.com/search?q=how+many+vacant+homes+are+th...
Seems high in the context of a total of ~112M homes. That would be more than 1 in 10 homes which I find hard to believe.
https://www.statista.com/statistics/183635/number-of-househo...
Re: A Fifth of China’s Homes Are Empty (2018)
#37While problematic in the short term, the scale of urbanization and decreasing domicile density alongside rising GDP/capita will allow China to eat through the slack inventory in the coming years. They are adding about 1 NY metropolitan area worth of urban dwellers per yr: https://www.statista.com/statistics/278566/urban-and-rural-p... Urban region Rural regions 2017 813.47 576.61 2016 792.98 589.73 2015 771.16 603.46…
Dont forget there are nearly a billion people who will have to migrate out of low-lying areas on the east of India/bangladesh over the next few decades as sea levels continue to rise. China is wise to have extra housing capacity. Even if they are 'nail houses' ... they only have to beat sleeping in the streets.
It’s unclear to me why Bangladeshis would migrate to China as opposed to India or Pakistan.
Re: A Fifth of China’s Homes Are Empty (2018)
#38Earlier quoted context omitted.
First three rules of real estate: location, location, location. Would you be interested in renting a 400 sf dilapidated teardown shack in western Kansas, no utilities, five hours from the nearest big city, no local jobs, and not near anything of consequence? As young Chinese flock to the large cities, they might have grown up in something similar to the above, but just because they're leaving it behind doesn't take i…
The article says these are urban homes, not rural ones.
Would you want to live at 8 Mile, or Compton?
Re: A Fifth of China’s Homes Are Empty (2018)
#39I wonder if part of this is a cultural thing and I'm not sure if apartments count as homes. I've heard from friends in the bay area that immigrated from China that buying a house is a prerequisite for a man to get married (so family often helps since bay area housing is crazy). Supposedly this leads to distortions in the Chinese market where rental units are relatively cheap, but purchasing costs are very high. Maybe…
school are allocated based on house. rental apartment does not cout.
As far as I know, school is allocated based on your hukou, and whether you own a house is irrelevant. (Except that in most places, owning a house is sufficient to get a local hukou.)
Re: A Fifth of China’s Homes Are Empty (2018)
#40It doesn't make much economic sense that these houses are empty. Why not rent them out or sell them for whatever the market will bear?
I always found “bear” a weird way of phrasing pricing in a competitive market.
For monopolies yes. But for commodities, you have to go with the market rate - best value product wins the sale.