The continued Chinese economic downturn has
severely aggravated the property market,
and warning sounds regarding the real estate bubble burst
and collapse can be heard everywhere.
In order to eliminate the difficult situation, the central
and local governments have used all means
to implement bailouts.
Recently, the local Chinese Communist Party (CCP)
newspaper published the headline article,
“It Is A Good Time For Property Buyers,"
which met with public outcry.
In addition, this year, property related incidents triggered
frequent protests, property owners became a new group
of petitioners following those people who suffered forced
land imposition, forced demolitions and anti-pollution.
This year, the Chinese real estate bubble is in an extremely
Therefore, the CCP has implemented a series of real estate
control policies, from the Central Government’s micro-
stimulation to the local governments’ cancelling the
purchase ban order, and the zero down payment measures.
There are many ever-changing bailout patterns.
On July 15, local CCP newspaper Changzhou Daily published
a headline article which said that in Changzhou City,
there is “little room for property price reductions,"
and “it is a good time to purchase property."
This is public rally to build up a momentum
for property market.
The article added that the first half of this year,
although in Beijing, Shanghai, Guangzhou, Shenzhen
and other first tier cities, real estate sales are sharply down
by about 30 percent year on year.
Changzhou commercial zone sales remains in balance.
Moreover, customers who have a rigid demand
for buying property are still strong.
However, World Union Properties data showed that
real estate transactions in the first half in Changzhou
are 36,196 units, of which 25,450 units are
commercial housing turnover.
Compared with the 31,031 units last year
the transaction falls by 17.99 percent.
Currently the new house storage in Changzhou city
needs two years to be fully digested by the market.
Chinese American magazine China Affairs Chief Editor
Wu Fan: “Why does CCP now launch propaganda
in the newspapers for purchasing homes?
This indicates that the government needs money,
developers need money.
(In order to) flow cash, all means have been used including
coaxing, cheating, fraud, etc. to make money."
Mainland financial commentator Niu Dao: “The current
situation is that the governments now do everything
to maintain the (real estate) bubble does not break,
but we all know that the main problem of China’s real estate
is the funds rather than other problems."
Mr. Niu Dao said now it was not to regulate the real estate,
and the basic issue is housing bubbles to burst.
The public has questioned the Changzhou Daily rhetoric.
Shanghai citizen Mr. Zhu said that if it really is a good
opportunity, public service staff would have grabbed
the early civil.
Some Internet users questioned the newspaper’s motives:
“The Government implements bailouts in disguise,
and calls on everyone to buy a house."
Some Beijing citizens said: “Property prices are so high,
but the newspaper still deceives the people by rushing
them into buying a house claiming that it is the best time
This is a crime against humanity!"
Niu Dao: “The CCP government is a dictatorship,
which gives first consideration to its own interests,
and then provides a very good salary
to incredibly corrupt officials.
There is no other government corrupt
to such a serious extent across the world.
But now it still wants to maintain the regime.
They still want to do so, and now people have seen through."
In China, people spend a lifetime of hard-earned life savings
to buy a home.
But due to a variety of international factors
buyers cannot enjoy the living.
On July 11, more than 300 property owners came to Wuxi
municipal government in Wuxi City of Jiangsu Province
to appeal the inability to deliver on the residential building
and the construction.
Lack of funds due to misappropriation of the Nanjing City
land pre-sale deposit by developers led to the standstill.
The special police cracked down and 14 were arrested.
On June 2, the original asking price on the Asian Games Bay
and Hill residential buildings in Panyu District of Guangzhou
City, were reduced by 16,000 yuan to 21,000 yuan per square
meter, down 9,800 yuan to 12,500 yuan per square meter.
This lead to the protests of property owners .
They block the residential buildings and forbid the sales staff
and spectators to enter.
On May 26, hundreds of property owners of Milan Spring
real estate project in Changsha, Hunan Province protested
lack of trust in developers, leading to the inability
of the community’s children to attend the school nearby.
Wu Fan: “All these are specifically involved in
the vital interests of the people, and now the governments
try to get the money from you by all means,
you will not be given good service.
The real estate company is a big brother, he would cheat
you, then the rights defender movement comes out."
Niu Dao: “It is about why the collapse
of the CCP now takes place?
It is impossible for them to solve all conflicts.
They are only seeking to protect their own interests
to move forward?"
Niu Dao said that the CCP has always fooled the people,
and the Chinese people have a fire in their bellies.
There will come a day, like the former Soviet Union, that
the CCP will disintegrate with a sudden, thorough collapse.
Interview Edit/YiRu Post-Production/ZhongYuan