China's Middle Class In Despair Over Fears They Will Never Own A Home

china shanghai agent women

Photo: Hong Kong dear Edward of flickr

Beijing home prices are up 40% since 2007.Beijing incomes are not.

Chinese correspondent Antoaneta Bezlova has a telling anecdote about the plight of the middle class in the capital city.

Asia Times:

Courteous and efficient, Xing Xina is dealing with the long queue of bank customers in front of her without a hint of resentment. After all, the air is thick with talk of interest rates and mortgage loans and speculation of the Chinese property market’s hottest commodities. On this busy morning, nearly all customers lining up at the Hong Kong and Shanghai Bank (HSBC) branch that Xing works in are buying houses.

Does Xing own property in Beijing? Her polite smile disappears for a moment. “Not one of my colleagues here can afford to buy into Beijing’s market,” she says. “We are all renting or living with our parents. But the customers I serve here every day are buying property like mad.”

There’s a reason property flipping has increased 350% since 2007. China’s nouveau riche are buying multiple homes and driving the bubble sky high.

Don’t miss: Why Shanghai Real Estate Is The Most Obvious Bubble Ever

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