Overview
Quick Takeaways
- The fall of Evergrande a huge property developer, is sparking economic contagion in China
- 20% of China’s housing stock sits empty
- China’s government is taking steps to cool down the property market
Source: China’s Real Estate Problem (Inside Indiana Business, Oct. 4, 2021)
Find the latest statistics on Chinese real estate buyers in the U.S. in the 2021 International Transactions in U.S. Residential Real Estate. Brush on your Asia Pacific/CIPS knowledge at the Center for REALTOR® Development.
Find out what has impacted the slowdown of Chinese home purchases recently and the effect of the “Biden bump.” Chinese buyers are also snapping up U.S. farmland. Some legislators want to block selling agricultural land to the Chinese.
has a real estate problem—empty buildings, government measures to cool down the property market, a possible property tax and the fall of Evergrande, a huge property developer. Will their property bubble pop?
Interested in Chinese language property websites and Chinese property associations? We have the links!
See References for more information.
References
NAR Library & Archives has already done the research for you. References (formerly Field Guides) offer links to articles, eBooks, websites, statistics, and more to provide a comprehensive overview of perspectives. EBSCO articles (E) are available only to NAR members and require the member's nar.realtor login.
Information From the National Association of REALTORS®
Read more about Chinese home buyers in the 2021 Profile of International Transactions in U.S. Residential Real Estate.
CIPS - Asia/Pacific and International Real Estate Real Estate Course (Center for REALTOR® Development)
The Asia/Pacific and International Real Estate course introduces real estate professionals to the basic skills and knowledge necessary to facilitate transactions with clients in the Asia/Pacific region. This course counts as one of the three elective courses required to earn the Certified International Property Specialist (CIPS) designation.
Chinese Real Estate Buyers in the United States
The Chinese Buyers Who Were Scooping Up New York Real Estate Have Vanished (Curbed, Aug. 27, 2021)
Although New York is still one of the top three locations in the U.S. for Chinese buyers, the real-estate business is taking note of their waning interest. “I had many potential clients at the beginning of the pandemic, and then, they all dropped off,” said Chloe Ren, founder of the Chloe Ren Group, a high-end-properties agency in New York that specializes in Chinese buyers.
International Buyers Dropped Out of U.S. Housing During Pandemic, but China is Rushing Back (CNBC, Jul. 26, 2021)
“There has been quite a positive impact on the demand from the Biden boost, as the U.S. is being perceived as much more predictable now, and visas are also much easier to be obtained,” said Georg Chmiel, executive chairman of Juwai IQI, a home listing site in China much like Zillow in the U.S.
China is Buying Up American Farms. Washington Wants to Crack Down (Politico, Jul. 19, 2021)
By the start of 2020, Chinese owners controlled about 192,000 agricultural acres in the U.S., worth $1.9 billion, including land used for farming, ranching and forestry, according to the Agriculture Department.
Real Estate in China
China’s Real Estate Problem (Inside Indiana Business, Oct. 4, 2021)
Additionally, the prospects of continued appreciation of real estate (coupled with strict limitations on overseas investing) led to the construction of China’s infamous ‘ghost cities’ that litter the countryside with cities full of buildings that sit empty. It is estimated that 20% of the total housing stock in China is unoccupied.
China's Cooling Measures Curb New Home Price Growth, Property investment (Reuters, Sep. 15, 2021)
Average new home prices grew at their slowest pace since December on a monthly basis, and since January on an annual basis, after authorities stepped up property curbs this year, from capping banks' lending to the sector to restricting purchases.
Growing Signs Suggest China May Launch Countrywide Property Tax (Sixth Tone, Sep. 14, 2021)
Shi Zhengwen, deputy director of the fiscal and tax law research society under China Law Society, said such a national property tax is “highly likely” and might be piloted by the end of 2021. He told state-run China News Weekly earlier this month that there were “strong signals” from the central government that they’re preparing to roll out the plan.
China's Real Estate Bubble is So Dangerous Beijing Can Only Watch It Grow (Bloomberg Opinion, Aug. 19, 2021) E
Real estate loans have increased to more than 27% of total yuan advances, from less than 20% a decade ago, according to People's Bank of China data. Moreover, this is certainly an understatement — at least according to the country's head banking regulator, who ought to know. Guo Shuqing, chairman of the China Banking and Insurance Regulatory Commission, wrote last year that the real share of property-related loans is more like 39%, or 70 trillion yuan ($10.8 trillion).
Websites & Other Resources
China Institute of Real Estate Appraisers and Agents (CIREA)
Email: int@cirea.org.cn
Phone: 86 10 88083085
Fax: 86 10 8808 3156
http://agents.org.cn/
11th Floor, Building 7 Interwest Business Center
9 Shou Ti Nan Road, Haidian District
Beijing, 100048 China
China Real Estate Chamber of Commerce (CRECCHKI)
+852 2153 9683
+852 2153 9273
events@crecchki.org
Room 1708, 17/F, 700 Nathan Road, Mong Kok, Kowloon
https://www.crecchki.org
Global Ambassador for the China Institute of Real Estate Appraisers and Agents (CIREA), the China Real Estate Association (CREA), China Real Estate Chamber of Commerce (CRECC), the Overseas Property Alliances (OPA), the Society of Hong Kong Real Estate Agents (SHKREAL):
Linda Lee
Email: linda@buy858.com
Phone: 1 858 720 9699
3965 Fifth Avenue, Suite 300
San Diego CA 92103 USA
The Real Estate Developers Association of Hong Kong (REDA)
1403 World-Wide House
19 Des Voeux Road Central
Hong Kong
Tel: (852) 2826 0111
Fax: (852) 2845 2521
Email: info@reda.hk
Ambassador Association for China: San Francisco Association of REALTORS®
PRIMARY CONTACT: Walter Baczkowski
Email: walt@sfrealtors.com
Phone: 1 415 431 8500
Fax: 1 415 553 3968
http://www.sfrealtors.com
301 Grove Street
San Francisco CA 94102-4497 USA
Chinese Real Estate Websites
Fang — Chinese-language real estate listings website
Juwai — Chinese-language real estate listings website
Lianjia — Chinese-language real estate listings website
Sofang — Chinese-language real estate listings website
eBooks & Other Resources
eBooks.realtor.org
Chinese Business Etiquette and Culture (eBook)
Doing Business in China (eBook, Audiobook)
Dr. Blair's Chinese In No Time (Audiobook)
Emerging Market Real Estate: Investing in China, India, and Brazil (eBook)
Books, Videos, Research Reports & More
The resources below are available for loan through Member Support. Up to three books, tapes, CDs and/or DVDs can be borrowed for 30 days from the Library for a nominal fee of $10. Call Member Support at 800-874-6500 for assistance.
Emerging Market Real Estate Investment: Investing in China, India, and Brazil (Hoboken, NJ: Wiley, 2010) HD926 .L96 2010
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