Real Estate Crisis Goes Out of Control
Construction Philosophy|August 2022
Home sales in China have collapsed by nearly 60% compared to a year ago, and the current constant decline of sales (11 months) is pegged to be the worst in Chinese history.
Real Estate Crisis Goes Out of Control

China's homebuyers are running out of patience as the country's real estate crisis threatens to spiral out of control. Hundreds of thousands of homebuyers have begun a "mortgage boycott", refusing to pay their mortgage for unfinished or stalled housing projects.

As of July 18, homebuyers in 80 cities and 200 projects had threatened to stop mortgage payments. Total mortgages at stalled Chinese developments amount to 2 trillion yuan ($296 billion), according to analysts at GF Securities Co. and Deutsche Bank AG.

Home sales have collapsed by nearly 60% compared to a year ago, and the current constant decline of sales (11 months) is pegged to be the worst in China's history. Analysts expect property sales to have dropped 25% from January to June, amidst China's "Zero Covid Cases" strategy. Numerous developments in China have halted as property developers have run out of capital to finish construction.

Across China, real estate developers are getting desperate attempting to sell homes by whatever means possible, even going as far as accepting down-payments in wheat, garlic, watermelons and peaches to cater to farmers.

The trouble began with the Evergrande Group's collapse. It is now snowballing into a crisis that risks engulfing some of the biggest developers in the country, its lenders and a middle class that has significant wealth tied to the property market.

هذه القصة مأخوذة من طبعة August 2022 من Construction Philosophy.

ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.

هذه القصة مأخوذة من طبعة August 2022 من Construction Philosophy.

ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.

المزيد من القصص من CONSTRUCTION PHILOSOPHY مشاهدة الكل
NEW PLASMA BORING ROBOT
Construction Philosophy

NEW PLASMA BORING ROBOT

Plasma Boring Robot can dig tunnels 100 times faster and 98% cheaper

time-read
2 mins  |
August 2022
Span Floors launches 'Serene Summer'
Construction Philosophy

Span Floors launches 'Serene Summer'

Span Floors, a leading brand of wooden flooring in India, has introduced a new collection of summer flooring called the Serene Summer.

time-read
1 min  |
August 2022
ALSTONE ALCOMB
Construction Philosophy

ALSTONE ALCOMB

ALSTONE India Launches Futuristic and Revolutionary

time-read
1 min  |
August 2022
DIGITAL TECHNOLOGY AND ITS RELEVANCE IN DESIGN
Construction Philosophy

DIGITAL TECHNOLOGY AND ITS RELEVANCE IN DESIGN

With the complexity of designs that we witness worldwide today, a digital uprising is very critical.

time-read
3 mins  |
August 2022
Office leasing rose 3-fold across India in June 2022 quarter
Construction Philosophy

Office leasing rose 3-fold across India in June 2022 quarter

A good 60% of the homebuyers in the country say that faced many challenges while acquiring property and as much as 40% of them also encountered issues after getting possession of their homes, according to a new survey.

time-read
1 min  |
August 2022
Real Estate Crisis Goes Out of Control
Construction Philosophy

Real Estate Crisis Goes Out of Control

Home sales in China have collapsed by nearly 60% compared to a year ago, and the current constant decline of sales (11 months) is pegged to be the worst in Chinese history.

time-read
3 mins  |
August 2022
Rate hike to further slow housing market
Construction Philosophy

Rate hike to further slow housing market

Fourth consecutive BoA is threatening rate increase by to drive up cost of borrowings and result in a sharp slump in the housing market.

time-read
2 mins  |
August 2022
Massive housing shortage across the U.S.
Construction Philosophy

Massive housing shortage across the U.S.

America has fallen 3.8 million homes short of meeting housing needs, which includes both rental housing and homes meant for ownership.

time-read
1 min  |
August 2022
CASE Construction Equipment appoints Sunil Puri as MD, India & SAARC Operations
Construction Philosophy

CASE Construction Equipment appoints Sunil Puri as MD, India & SAARC Operations

CASE Construction Equipment India Ltd, a brand of CNH Industrial has appointed Mr. Sunil Puri as Managing Director, India.

time-read
1 min  |
August 2022
Anirban Gupta joins Colliers as MD, Kolkata
Construction Philosophy

Anirban Gupta joins Colliers as MD, Kolkata

Leading diversified real estate professional services and investment management firm Colliers has appointed Anirban Gupta as the Managing Director of Kolkata to drive the organization's growth in East India.

time-read
2 mins  |
August 2022