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China's Housing Crash Just Wiped Out 20 Years of Price Growth (thedeepdive.ca)
submitted 4 months ago by to c/world@lemmy.world
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[+] -25 points 4 months ago (3 children)

Unfortunately, in China housing is the only thing they're legally allowed lowed to "invest" in. There is no stock market, you can't own land, you can't buy land in foreign countries (legally). So when their market crashes 20% that's the equivalent of the NSDAQ, housing, and subsidies markets all crashing 20% in a day, which is like beginning great depression type stuff.

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  • [–] 19 points 4 months ago

    That's quite exactly the opposite of what's true actually.

    The Beijing Stock Exchange and Shanghai Stock Exchange are in fact stock markets, and they can buy land legally in many countries (there's no Chinese law prohibiting it at least, local laws in some countries may ban foreigners from buying land). They (their rich, not common people) buy housing in other countries because it's viewed as a better and safer investment (also because buying a home in China is a 70 year lease)

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