The unexpected casualty of China's housing boom
Updated: 2016-08-31 14:02
By Zhu Qiwen(chinadaily.com.cn)
|
||||||||
Under such circumstances, it is not difficult to understand why the central authorities had indentified in late July curbing asset bubbles one of their top priorities.
A month later, the housing market in Shanghai is still shrugging off these warnings. Local homebuyers rushed to buy over 5,000 apartments in the past week.
No less shocking is the ongoing flood of divorce of convenience in Shanghai as the latest response to media reports that tightened measures might be launched by Sept 1, including increased interest rates for home loans, higher down payments and tougher loan terms for purchase of a second home. Since divorce can enable a couple to hedge the purchase restriction for each household to buy more houses, it is quite obvious plenty of them are determined to take the chance.
As a result, local offices of civil affairs in Shanghai had been so overwhelmed by the surge of divorce that some of them had to issue a notice to persuade the eager couples away. It seems that local civil affairs offices have become a group of unexpected victims of the recent panic house buying in Shanghai.
As if to save their civil affairs colleagues from unbearable work load, Shanghai housing authorities made an announcement on Monday to refute reports suggesting they're considering new home-purchase restrictions, saying they will be sticking to the existing housing rules to ensure the stability of the market.
But it definitely takes more than such a vague statement to change those divorcing couples' bullish, if not blind, optimism on housing prices. Their eagerness to divorce indicates that they don't believe the housing boom will end anytime soon.
If that is the case, their divorce story may end in joy. But the Chinese economy may have too much housing bubbles to swallow.
If not, their marriage may turn out to be an unworthy sacrifice for the Chinese property market.
The author is a senior writer with China Daily.
- Shanghai housing sales surge as new curbs feared
- A call for affordable housing in big cities
- Better regulation of affordable housing will help it fulfill purpose
- Housing to be more sustainable, affordable
- China's housing sales to decline to more sustainable level: Fitch
- Polarized housing market creating policy dilemma amid signs of cooling
- No easy answers to resolving the issue of public housing
- China spends big in housing renovation
- Brazil leader's impeachment trial enters final stretch
- 94th anniv. of Victory Day marked in Turkey
- Merkel opens Germany's 17th Confucius Institute
- France's outgoing minister vows to 'transform' France
- One dead, three wounded in blast at Chinese embassy in Kyrgyzstan
- Tainted food sickens 37 Buddhist monks, 2 helpers in Cambodia
- Top 10 wealthiest countries in the world
- Princlings go to school
- Chinese painters capture beauty of Hangzhou
- 1,150-meter-long 'floating bridge' created
- Take a sip of wine at the glass skywalk in Hunan
- Groom and bride cycle their way to wedding
- The world in photos: Aug 22- Aug 28
- Daily life in Hangzhou, host city of 11th G20 summit
Most Viewed
Editor's Picks
Anti-graft campaign targets poverty relief |
Cherry blossom signal arrival of spring |
In pictures: Destroying fake and shoddy products |
China's southernmost city to plant 500,000 trees |
Cavers make rare finds in Guangxi expedition |
Cutting hair for Longtaitou Festival |
Today's Top News
Trump outlines anti-terror plan, proposing extreme vetting for immigrants
Phelps puts spotlight on cupping
US launches airstrikes against IS targets in Libya's Sirte
Ministry slams US-Korean THAAD deployment
Two police officers shot at protest in Dallas
Abe's blame game reveals his policies failing to get results
Ending wildlife trafficking must be policy priority in Asia
Effects of supply-side reform take time to be seen
US Weekly
Geared to go |
The place to be |