HOME OWNERSHIP IN CHINA
While our Western press finds (and manufactures) many negative stories about China, it manages to overlook almost all the positive developments there. The Chinese people, of course, do not make this mistake, and show overwhelming support for, and trust in, the CCP. Here’s an “overlooked elephant in the room” story that illustrates this fact:
It appears a miracle – as well as a challenge – that nearly 90 percent of Chinese families own their homes.
The People’s Bank of China and the Southwestern University of Finance and Economics released a joint report on Sunday on China’s family finance, which found that 89.68 percent of Chinese families own at least one home, compared to the world’s average rate of about 60 percent.
In a way, the report lends support to the argument that real individual demand for housing – not just business speculation and government reliance on selling land for fiscal revenue – has helped push up real estate prices in China. Indeed, too many young people and their parents make owning a house the very prerequisite for marriage.
Although they hate that house prices are getting higher and higher, many Chinese regard owning a house the biggest goal of life and the only source of happiness. At the same time, the government is partly to blame, because it has yet to provide most Chinese affordable rental apartments. Read More…