BuzzBuzzHome Corp.
February 22, 2010

Yikes! Sounds like China’s housing market is getting ready to burst. Check out what The Toronto Star has to say…

“Frenzied developers with access to cheap money are creating a glut of premium office space and luxury apartments, priced at about 80 times the average income of the city’s residents. Prospective middle-class homeowners, in panic-buying mode, are snapping up two properties at once, hoping to flip the second one to finance the first. Civic officials are encouraging the building boom.

The sale of vacant lots bolster their municipal coffers.

Banks eager to reap upfront fees are granting mortgages to all comers. Even factory owners are in on the speculation, generating more profit from flipping property than from traditional manufacturing, which increasingly is moving offshore to Vietnam, Malaysia and other nations with lower labour costs.

No, this isn’t Toronto in the late 1980s, or Santa Barbara or Tallahassee six years ago at the height of America‚Äôs record housing boom, which culminated in a global credit crisis and ensuing recession.

This is Beijing today…”

Here is a short clip from Bloomberg that I found today on YouTube from YOHO Midtown in Hong Kong:

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