China Property Investor’s Guide
China is enjoying a boom in its real estate market with international property investors and domestic buyers cashing in on the series of housing reforms China introduced back in 1998 to boost the economy and to allow local people and certain overseas buyers the right to purchase freehold property and land.
Despite growing media uncertainty about the Chinese property sector, industry experts and financial analysts both believe that the property boom has legs to run - and overseas investment into the real estate market in China and in particular in Shanghai remains very strong indeed thus supporting this theory.
There are three main factors that continue to drive the domestic real estate market in China and they are the demand for urbanisation to support industrialisation, the almost universal local demand for better housing and the rise in the numbers of local residents who can actually afford better housing. These three facts coupled with the aforementioned housing reforms also continue to make the property sector attractive for foreign investors.
If you’re interested in learning a little more about China in a bid to determine whether the market conditions are right for you to make an investment, here’s our brief country guide to China to give you the background information you need.
China benefited massively from having one of the world’s longest periods of uninterrupted civilisation and it is a country with almost 4,000 years of rich and colourful history. It is an intriguing nation and one that has either suffered foreign invasion or enjoyed overseas domination depending on which period of history you examine.
Most recently China was a world leader in advancing the arts and sciences until the early 20th century when wars, famine, unrest and foreign occupation took their toll on the nation and it fell to Communist domination under Mao Zedong after WWII. His regime imposed severe restrictions on the nation and its people which persisted until 1978 and resulted in the deaths of hundreds of thousands of Chinese people.
In 1978 Deng Xiaoping came to power; he and his advisers began to change their focus to developing the economy of China. They believed in putting the Chinese people into productive employment and allowing them to take on household responsibility in certain aspects of every day life.
The industrialization and development of China through the increase in market orientated economic output has resulted in the Chinese economy going from strength to strength and the Chinese GDP has quadrupled since 1978. The Chinese people who make up 20% of the world’s population have subsequently benefited from a better quality of life, higher standards of living and even more personal choice.
While political control in China remains rather restrictive, its leaders are committed to preserving and further developing their economy and to that end they completely support direct foreign inward investment into the property market. They have also recently imposed a number of restrictions on the real estate market to prevent prices from soaring too high too fast and the sector’s bubble from bursting and so far all indications point to just one thing - the Chinese economy is continuing to go from strength to strength in all major sectors and China now remains second only to the US in terms of the size of its economy.
Asia:- China Property Reports
Complete listing of all current property reports for region: Asia:- China
China Real Estate Buying Guide
China: The Property Investment Potential
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