"Many Chinese are spending 50 to 100 times their annual income to buy a home"

[Mindmaster]

A very interesting and somewhat scary article on an extremely large property bubble.

http://english.caing.com/2010-04-22/100137972.html

Kind of like the scary part in a movie where you close your eyes or look away cos it can get so ugly very quickly

 

[Gools]

Pretty poor article that one. Any guesses on what number / percentage "Many" might actually be? When Chen can actually start using some statistics I'll actually start paying attention.

What about "paying 100% more than the real value". How is the "real" value determined?

Gools

 

[bluestorm]

I saw an article in Bloomberg back in April, about maid in China buying property. The article goes on to say "China’s housemaids may be Asia’s answer to the shoeshine boy whose stock tips prompted Joseph Kennedy to sell his shares before the Wall Street Crash of 1929."
When the people on the lowest rung of the ladder get into investing, it's time to get out of the market.

http://www.businessweek.com/news/2010-04-25/i-ll-tell-you-when-chinese-bubble-is-about-to-burst-andy-xie.html

 

[Aaron Sice]

asian countries tend to allow intergenerational loans.

try getting a 99 year mortgage here.