It is not a secret: since October 2013, the Chinese real-estate market raises its prices and does not seem to stop. Soufun, the biggest real-estate website in China have disclosed the numbers that resume perfectly the current situation on the market: In 100 Chinese cities, the average price for m2 has exceeded 10,685 RMB (equal to 1270€), which represents a great increase of 10.69% comparing to last year.
The head of the list of the most expensive cities in China is Beijing. The capital city suffers the biggest price boom. In a year, the price of a new apartment has risen by 29.13%. For a squared meter in Beijing, you cannot count with less than 31,277 RMB (equals 3729€). In the top 10 cities, Shanghai is still one of the ‘less damaged‘ with yearly increase of 11.37% only. The price of real-estate in China creates social problems too. Being a homeowner is an unreachable dream for majority of the population. The Chinese Communist party has assembled for this issue and is currently trying to regulate the real-estate market by restructuration and modified taxation.
Remember that in order to stop the prices from rising, in 2010 the government passed restrictive regulations on purchase of second house in China. The unforeseen consequence of these restrictions was a significant increase of divorces in the country. An enormous rise of 40% comparing to previous year was recorded in Beijing and Shanghai. To circumvent the restrictions and avoid increasing taxes, numerous couples have decided to separate on the paper…