China's Real Estate Bubble May Have Just Popped

[Trien Chieu]

http://www.foreignaffairs.com/articl...ve-just-popped
http://shanghaiist.com/2011/12/20/ch...r_downfall.php

Is there any truth to it or just propaganda from foreign countries?
I heard that real estate price in China is ridiculously high, way beyond reach for average Chinese. Same here in Canada, real estate price is also skyrocketed. The price of a 1500 square feet semi is like $450,000 in Mississauga (30 minutes from Toronto). That is ridiculously high. Some of my family members and relatives encouraged me getting into real estate market as they strongly believe price only goes up, never goes down. I refuse to do it. I wait for the market to crash. I, sometimes, envy the US real estate market. How can their price be so low while our are so high? Perhaps, hard crash in China and Canada is overall a good thing for average Joe and Jane.

[jiang bao]

http://www.foreignaffairs.com/articl...ve-just-popped
http://shanghaiist.com/2011/12/20/ch...r_downfall.php

Is there any truth to it or just propaganda from foreign countries?
I heard that real estate price in China is ridiculously high, way beyond reach for average Chinese. Same here in Canada, real estate price is also skyrocketed. The price of a 1500 square feet semi is like $450,000 in Mississauga (30 minutes from Toronto). That is ridiculously high. Some of my family members and relatives encouraged me getting into real estate market as they strongly believe price only goes up, never goes down. I refuse to do it. I wait for the market to crash. I, sometimes, envy the US real estate market. How can their price be so low while our are so high? Perhaps, hard crash in China and Canada is overall a good thing for average Joe and Jane.

Yeah the housing crash in the US REALLY helped the "average Joe and Jane." Good reasoning.

[Trien Chieu]

Yeah the housing crash in the US REALLY helped the "average Joe and Jane." Good reasoning.

It's depending on your situation. If you still have a good job with some big saving for down payment while the price of housing in your city is down by more than 50% (sometimes up to 70-80%) then the big crash in the housing market is like winning a small jackpot. Imagine getting a house for $100,000 instead of $300,000.