The world's fastest growing property website is Chinese - SouFun has grown by 103% in the past year alone. We shouldn't be too surprised, because with a population of over a billion people, the Chinese property market is the biggest in the world.
Not so long ago, there was no property market in China whatsoever. In line with communist philosophy, the state handed out flats and houses, which meant that nobody owned any of them. Nobody could buy, nobody could sell. But once the Iron Curtain started to rust away, China has been aggressive in its rush for property ownership. This desire for ownership, mixed with an overheated economy that comes with a new capitalist era results in property speculation.
Consequently, the Oriental Dragon has seen meteoric property price rises that have been so pronounced of late that the authorities have resorted to introducing various controls to stem demand. Values TREBLED between 2005 and 2009. The spike is not helped much by, according to ChineseCrash, the Government stockpiling 64 million empty apartments across the People's Republic.
In 2009 a new real estate sales tax was introduced. In 2010 the Government effectively banned overseas speculative investment in Chinese property and also decreed that families wishing to purchase second homes would have to put down a minimum 40% deposit.
Any assistance schemes for first-time buyers were scrapped and in Beijing, residents were limited to owning two homes. And to cap it all off, you have to live in the city for more than five years before you're allowed to buy property there. Even so, people can't get enough of Chinese homes - they've been buying them like hot cakes and that's the problem because, as we all know, when you go out for a Chinese it only takes 20 minutes before you want another one.
Not so long ago, there was no property market in China whatsoever. In line with communist philosophy, the state handed out flats and houses, which meant that nobody owned any of them. Nobody could buy, nobody could sell. But once the Iron Curtain started to rust away, China has been aggressive in its rush for property ownership. This desire for ownership, mixed with an overheated economy that comes with a new capitalist era results in property speculation.
Consequently, the Oriental Dragon has seen meteoric property price rises that have been so pronounced of late that the authorities have resorted to introducing various controls to stem demand. Values TREBLED between 2005 and 2009. The spike is not helped much by, according to ChineseCrash, the Government stockpiling 64 million empty apartments across the People's Republic.
In 2009 a new real estate sales tax was introduced. In 2010 the Government effectively banned overseas speculative investment in Chinese property and also decreed that families wishing to purchase second homes would have to put down a minimum 40% deposit.
Any assistance schemes for first-time buyers were scrapped and in Beijing, residents were limited to owning two homes. And to cap it all off, you have to live in the city for more than five years before you're allowed to buy property there. Even so, people can't get enough of Chinese homes - they've been buying them like hot cakes and that's the problem because, as we all know, when you go out for a Chinese it only takes 20 minutes before you want another one.
About the Author:
eMoov makes it easy for you to sell your home on the internet. You can sell your home quickly and with the benefit of cheap estate agents fees. All properties are added to UK's top 25 property sites including Rightmove and Prime Location, to reach 170 million buyer visitors each month. Also, as Internet estate agents, their low cost service reaches millions of people 24/7.
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