70 percent of Chinese millennials are now said to own their home - leading global home ownership

[Dungeness]

It depends on the quality of the house. Before you own the house, what did you do ? You paid rent. In the mean time, you also save and you live this way for yrs to save up that minimum down payment percentage. How is this different from Americans having a typical 30 yrs mortgage ? This thread an absurdity in trying to put a positive spin on China by comparing to US.

This thread basically tells you one thing, Chinese millennials have a much higher home ownership than those in other countries, including USA. You are the the one who is trying to spin the fact.

Why is so hard to admit that there are things that Chinese do better than Americans? The other thing that China is doing better than America is the PAID maternity leave. While Chinese women enjoy minimum 90 day Paid legal maternity leave, their American counterparts enjoy NONE.

 

[nature is]

Homeownership Rate in the U.S. Drops to Lowest Since 1965

https://www.bloomberg.com/news/arti...e-in-the-u-s-tumbles-to-the-lowest-since-1965

 

[gambit]

This thread basically tells you one thing, Chinese millennials have a much higher home ownership than those in other countries, including USA. You are the the one who is trying to spin the fact.

Why is so hard to admit that there are things that Chinese do better than Americans?

No, buddy. It is YOU who are spinning the facts.

So how long has this fortune been for Chinese millennials ? Only since your China nearly collapse because of communism while Americans have had the same for much longer ?

The other thing that China is doing better than America is the PAID maternity leave. While Chinese women enjoy minimum 90 day Paid legal maternity leave, their American counterparts enjoy NONE.

This does not mean somehow your China is better than US. Paid maternity leave is something the government have no business in. That issue should be shamed, not legally enacted. By that, I mean companies should be socially pressured into doing for their women employees, not something the government have to enforce by law. But this philosophical difference is for a different debate.

 

[Shotgunner51]

70% Chinese millennials lead global home ownership
chinaplus.cri.cn | Updated: 2017-04-10

70 percent of Chinese millennials (the people born in the 1980s and 90s) are now said to own their home, and more than 90 percent of those that haven't bought yet say they intend to do so in the next five years, according to a new survey by HSBC.

The survey by the British banking giant included interviews with 9,000 people based in nine countries. While Chinese millennials lead the global trend of buying a home among the age group, Mexico is next at 46 percent, followed by France at 41 percent, the US and Malaysia at 35 percent, Canada at 34 percent, the UK at 31 percent, Australia at 28 percent and the UAE at 26 percent.

Half of all millennials in UAE who have bought homes have done so with the help of their parents. 40 percent of millennials in China have purchased their homes with the help of their parents.

***

This is real prosperity and human rights - to have one's own place is one of the most important conditions to have a stable, prosperous and productive life.

@Shotgunner51 , @ahojunk , @terranMarine , @Jlaw , @Chinese-Dragon

Good news! I remember there's an Forbes article on purchasing power of Chinese millennials, also a thread here, see below. Why? I guess the reasons include:

1. Chinese millennials aren't indebted with student loans. Chinese parents save and spend as much as it takes to send their children to college. In addition, Chinese culture shuns borrowing, student loans are unheard of and unavailable. This is very different from other nations, say in American millennial, those in their 20s are overwhelmed with student loans, which amount to some $1.3 trillion. More than seven million student borrowers are in default and millions are still struggling to repay their loans.
   
2. About 90 % of Chinese households own their homes, and 80 % of these homes are owned without mortgages or any other leans. Millennials just follow such tradition of home ownership practiced by their parents.
3. Ultra high savings rate. Contrary to relatively low consumption (especially in services sector composition of GDP), in fact China's savings rate is always among highest in the world. Family savings are main source of finance for millennials.
4. Low household debts. China's overall domestic credit market (Domestic Credit To Private Sector) is mostly driven by the corporate sector, while household sector remains low. Like mentioned above, compared to high ownership in China, perhaps ownership without mortgage is a more important thing, we all know roots of the 2008 financial crisis. This is exactly opposite in many other nations, say in US household debt is the key sector, mortgage originations increased to the highest level since the Great Recession. Mortgage balances make up the bulk of household debt and ended the year of 2016 at $8.48 trillion. Growth in non-housing debt, which includes credit card debt and student and auto loans, are key factors that drove household debt to $12.58 trillion at the end of 2016, an increase of $460 billion (the largest increase in almost a decade). That means the debt loads of Americans are near 2008 levels, when total consumer debt reached a record high of $12.68 trillion.
   
5. Investment. Real estate is among the best performing assets in recent years, say a 188 sqm apartment near my Lujiazhui office in Shanghai now worths RMB 17 million (~US$ 2.5 million), it's like 20% increase against last year. An 197-sqm apartment further down the road now markets at RMB 22 million (~US$ 3.2 million), it's only half the price when I took that a couples years back. Houses are critical assets, if not all, of investment portfolio planned for millennials by their parents.

https://www.forbes.com/sites/helenw...lennials-have-more-cash-to-burn/#3f3e319d5e81
https://defence.pk/pdf/threads/two-...sh-to-burn-than-american-counterparts.454783/
https://www.cia.gov/library/publications/the-world-factbook/rankorder/2260rank.html
http://www.cnbc.com/2015/10/25/china-savings-rate-versus-the-world-in-a-chart.html
http://data.worldbank.org/indicator/NY.GNS.ICTR.ZS?year_high_desc=true
http://money.cnn.com/2017/02/16/pf/americans-more-debt-in-2016/index.html
http://data.worldbank.org/indicator/FS.AST.PRVT.GD.ZS?year_high_desc=true
https://www.newyorkfed.org/medialibrary/interactives/householdcredit/data/pdf/HHDC_2016Q4.pdf
http://esf.sh.fang.com/chushou/3_283969919.htm
http://esf.sh.fang.com/chushou/3_285471145.htm

 

[Mista]

Really? Is it statistics or just a survey? Chinese cities have some of the most unaffordable housing in the world due to speculation from the rich, with major cities comparable to Hong Kong.

HK has the world's most unaffordable housing, with a housing price to income ratio of 19.0.

http://www.scmp.com/property/articl...ve-housing-market-world-sixth-year-row-survey

Sydney is second with a ratio of 12.2 and Vancouver third with a ratio of 10.8 in 2016. Mainland Chinese cities are left out in this list.

Report : http://www.demographia.com/dhi.pdf

According to the following list by a Chinese institute, China overall has a ratio of 7.1.
http://www.china.org.cn/top10/2015-06/30/content_35933216.htm

However the first-tier cities are unaffordable, with a ratio 20.2 for Shenzhen, Beijing (14.5), Shanghai (11.9). They would rank among the most unaffordable in the world if they are included in the list.

From reading Chinese social media and my interaction with Chinese youth, housing remains one of the most pressing issue in China. In the dating scene, having your own property is a huge plus over other men. It's quite hard to believe that 70% of Chinese in their twenties own their own homes, even with help from their parents. Owned by the family, maybe.

 

[Shotgunner51]

Thread locked temporarily to edit or remove rule-violating posts.

P.S. Now re-open. No more personal remarks (can post in Member's Club), personal attacks, off-topic posts like immigration, stay on subject only.

 

[Dungeness]

This does not mean somehow your China is better than US. Paid maternity leave is something the government have no business in. That issue should be shamed, not legally enacted. By that, I mean companies should be socially pressured into doing for their women employees, not something the government have to enforce by law. But this philosophical difference is for a different debate.

It takes a very big nerve to be an apologist on this issue. By the same logic, Health Insurance shouldn't be the business of the government either. You are so un-American, as you are not for the interest of the majority of Americans. It is time to get out your cold war mentality, buddy, welcome to the 21 century.

http://fortune.com/2016/04/15/an-overwhelming-majority-of-americans-support-paid-parental-leave/

https://www.washingtonpost.com/news...-leave-the-u-s-is-not/?utm_term=.5802306b21b5

 

[KediKesenFare3]

You guys do realize that this is not the result of growing prosperity in China? This was bound to happen simply due to the forced one-child-policy. In this system, grandparents and parents are effectively working for the next generation(s) -> children and grandchildren. This is just another form of accumulation of wealth. To be frank, it's a very bad system with extreme restrictions. In the Western world - even in transition countries like Russia, Turkey or Mexico - a middle income couple can afford to buy an apartment at the end of their working lifetime (or during that time). In China, several generations have to work to finance actually one or two apartments. Nothing to be proud of.

In fact, it shows the defects of the Chinese system.

 

[Dungeness]

You guys do realize that this is not the result of growing prosperity in China? This was bound to happen simply due to the forced one-child-policy. In this system, grandparents and parents are effectively working for the next generation(s) -> children and grandchildren. This is just another form of accumulation of wealth. To be frank, it's a very bad system with extreme restrictions. In the Western world - even in transition countries like Russia, Turkey or Mexico - a middle income couple can afford to buy an apartment at the end of their working lifetime (or during that time). In China, several generations have to work to finance actually one or two apartments. Nothing to be proud of.

In fact, it shows the defects of the Chinese system.

Are you sure you know what you are talking about?

 

[gambit]

Are you sure you know what you are talking about?

May not be as good news as you like...

https://qz.com/631271/china-needs-i...orkers-to-buy-new-homes-and-save-its-economy/

 

[shadows888]

May not be as good news as you like...

https://qz.com/631271/china-needs-i...orkers-to-buy-new-homes-and-save-its-economy/

rofl, everyone knows qz is junk.

 

[gambit]

rofl, everyone knows qz is junk.

I could go with Bloomberg or Business Insider and they would still be 'junk'. Take it anyway you like.

 

[MultaniGuy]

70% Chinese millennials lead global home ownership
chinaplus.cri.cn | Updated: 2017-04-10

70 percent of Chinese millennials (the people born in the 1980s and 90s) are now said to own their home, and more than 90 percent of those that haven't bought yet say they intend to do so in the next five years, according to a new survey by HSBC.

The survey by the British banking giant included interviews with 9,000 people based in nine countries. While Chinese millennials lead the global trend of buying a home among the age group, Mexico is next at 46 percent, followed by France at 41 percent, the US and Malaysia at 35 percent, Canada at 34 percent, the UK at 31 percent, Australia at 28 percent and the UAE at 26 percent.

Half of all millennials in UAE who have bought homes have done so with the help of their parents. 40 percent of millennials in China have purchased their homes with the help of their parents.

***

This is real prosperity and human rights - to have one's own place is one of the most important conditions to have a stable, prosperous and productive life.

@Shotgunner51 , @ahojunk , @terranMarine , @Jlaw , @Chinese-Dragon

Congratulations to China.

 

[TaiShang]

Good news! I remember there's an Forbes article on purchasing power of Chinese millennials, also a thread here, see below. Why? I guess the reasons include:

1. Chinese millennials aren't indebted with student loans. Chinese parents save and spend as much as it takes to send their children to college. In addition, Chinese culture shuns borrowing, student loans are unheard of and unavailable. This is very different from other nations, say in American millennial, those in their 20s are overwhelmed with student loans, which amount to some $1.3 trillion. More than seven million student borrowers are in default and millions are still struggling to repay their loans.
   
2. About 90 % of Chinese households own their homes, and 80 % of these homes are owned without mortgages or any other leans. Millennials just follow such tradition of home ownership practiced by their parents.
3. Ultra high savings rate. Contrary to relatively low consumption (especially in services sector composition of GDP), in fact China's savings rate is always among highest in the world. Family savings are main source of finance for millennials.
4. Low household debts. China's overall domestic credit market (Domestic Credit To Private Sector) is mostly driven by the corporate sector, while household sector remains low. Like mentioned above, compared to high ownership in China, perhaps ownership without mortgage is a more important thing, we all know roots of the 2008 financial crisis. This is exactly opposite in many other nations, say in US household debt is the key sector, mortgage originations increased to the highest level since the Great Recession. Mortgage balances make up the bulk of household debt and ended the year of 2016 at $8.48 trillion. Growth in non-housing debt, which includes credit card debt and student and auto loans, are key factors that drove household debt to $12.58 trillion at the end of 2016, an increase of $460 billion (the largest increase in almost a decade). That means the debt loads of Americans are near 2008 levels, when total consumer debt reached a record high of $12.68 trillion.
   
5. Investment. Real estate is among the best performing assets in recent years, say a 188 sqm apartment near my Lujiazhui office in Shanghai now worths RMB 17 million (~US$ 2.5 million), it's like 20% increase against last year. An 197-sqm apartment further down the road now markets at RMB 22 million (~US$ 3.2 million), it's only half the price when I took that a couples years back. Houses are critical assets, if not all, of investment portfolio planned for millennials by their parents.

https://www.forbes.com/sites/helenw...lennials-have-more-cash-to-burn/#3f3e319d5e81
https://defence.pk/pdf/threads/two-...sh-to-burn-than-american-counterparts.454783/
https://www.cia.gov/library/publications/the-world-factbook/rankorder/2260rank.html
http://www.cnbc.com/2015/10/25/china-savings-rate-versus-the-world-in-a-chart.html
http://data.worldbank.org/indicator/NY.GNS.ICTR.ZS?year_high_desc=true
http://money.cnn.com/2017/02/16/pf/americans-more-debt-in-2016/index.html
http://data.worldbank.org/indicator/FS.AST.PRVT.GD.ZS?year_high_desc=true
https://www.newyorkfed.org/medialibrary/interactives/householdcredit/data/pdf/HHDC_2016Q4.pdf
http://esf.sh.fang.com/chushou/3_283969919.htm
http://esf.sh.fang.com/chushou/3_285471145.htm

Very good empirical post.

Chinese students/millennials are indeed free of debt which is in stark contrast to the youngsters in some more developed countries which have to live on from one form of debt to another, starting from college, then, most probably a car.

Most even misuse their college loans to buy a car. To eventually graduate from a university on student loan practically nullifies any chances to buy a home in the mid-run.

Oftentimes, those with college debt enroll in the military and be sent to overseas. It is a working model for the US regime's imperial designs and some minority from New Mexico dying in Afghanistan is the least of the regime's concern.

I met so many of these ex-soldiers who had no other choice but to enlist to pay back their undergrad loan. Then, two-three year in the military, they continue with Master.

In a country where politicians proudly call themselves mad dog or brag about grabbing ****, such degeneration would not be surprising at all.

 

[padamchen]

I heard China is fast losing its farmlands (water and desertification) and farmers (rapid urbanisation) and are so literally colonising the earth not only for minerals but for a steady supply of food for its population. Buying huge tracts of farmland in other countries.

Is this sustainable in times of war or when and if peace breaks down and there is social anarchy.

Will the Chinese not be staring at famine then?

The Americans and Russians still preserved their farmlands. In fact they continue to be anond the world's top producers

I would like to hear from our Chinese on this.