Wednesday, March 13, 2013

No China Housing Bubble?

Always good to get contrarian thoughts - here.

What I didn't like:
"Lu also says there is a huge difference between China and developed markets that saw their housing bubbles burst. In China, the economy is still growing fast, as is the urban population."
That, for me, is just plain stupid. But I like his point about the fact that there are only so many cities/ places covered by skeptics:

"Ordos in Inner Mongolia province, the New South China Mall in Guangdong province, Chenggong in Yunnan province, Yujiapu in Tianjin municipality and Zhengdong in Henan province."

Why haven't other cities been found/ covered by media? But yes, the basic issue is that debt fueled housing is unsustainable in a country where housing is used as one of the primary investment vehicles for parking money. Then again, what are the reasons for a housing bubble pop?

Waiting. P.S. I hate this copy paste nonsense that just ruins the spacing!

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