Due to sky-high pricing in China, millennial Chinese are buying property in other parts of the world.
Let’s discuss some factors on this webmagazine pointing towards why Chinese has a passion for property:
- The desire to be modern: Chinese house older than 1995 are getting demolished, which is going to be replaced by homes newly built and in a modern way. There’s a massive demand for new, well-appointed properties constructed to current standards. Chinese middle-class do love better living.
- China has a limited investment channel: The financial sector of China is lagging behind USA, UK, and Europe, which lead investors to a minimal range of choices. In West, investors are given a chance by offering unlimited options, whereas in China it is difficult to store their excess wealth. After 1997, when property market got privatized in China, real estate business boomed. Today, most number of billionaires in China is generated by real estate and China is the fastest wealth creator in all of its history.
- Investment Security: One of the most viable options is to invest in real estate, it is a safe option as well. Chinese also have British Heritage, which means that the property is passed to their next generation after the owner dies. So, Chinese with their volatile stock market, they find it safe to invest their excess amount in real estate. It is believed in China and also is the fact that Chinese real estate is moving only towards one direction and that is up.
- Owning own home: Owner of a house though isn’t spoken too much about outside, but still, it is an aspiration in China.
- Marriage Criteria: Men are outnumbering women by 33-million in China. That means there is fierce competition amongst men and there are demands in between women, and one such requirement is that the man she is going to marry to is expected to have at least one house.