Dire predictions for the trust industry have not materialized, because of smart interventions by China´s financial authorities. But that does not mean the industry is off the hook, writes financial analyst Sara Hsu in The Diplomat. Danger from the property market will remain till the end of 2014.
Category Archives: real estate
WSJ wealth editor Wei Gu discusses the turning point in China´s real estate market with JP Morgan economist Zhu Haibin. While weak demand and oversupply leads to an adjustment, no price collapse is expected like in the US real estate crisis.
Most media are hyping up the problems in China´s real estate, argues author Mario Cavolo on his website. Fortunately, he finds support in articles in the Wall Street Journal by Nicole Wong and in research of CLSA.
Whether China property bubble is popping, or more slowly evaporating, the effects on its economy will be enormous. Financial analyst Sara Hsu lists three of the most important effects for The Diplomat. She predicts no crash, but very serious effects indeed.
Some second and third tier cities in China report house buying has come to a standstill, while high-end property markets in first tier cities report a huge influx of buyers from China. Financial analyst Sara Hsu looks in the Diplomat at both opposing trends and how the middle class might get hit.
A first US$ 600 million default of a real estate company might be the beginning of more, tells business analyst Ben Cavender at Tradingfloor.com. Slower growth might trigger off more default in real estate, and the government will try to control the process, not bail everybody out.
Announced reforms in China might have a profound impact on the property markets. Financial liberalization might cause a downturn, but land and hukou reform might have a positive influence. WSJ wealth editor Wei Gu discusses with Oliver Barron of NSBO China Research the likely impact.
China´s central government tries to cool down the real estate sector, but the industry keeps on growing. For China´s rich real estate remains the most important money-makes concludes Hurun founder Rupert Hoogewerf, according to news agency Reuters, in this week´s annual Global Rich List.
Chinese property buyers are venturing out and WSJ wealth editor Wei Gu discusses with Terence Tang of Colliers International where those buyers are going to. Most are following existing track, paved by trade, tourists and students.