What are the reasons for the rise in house prices and why do you say that house prices will not fall?

Rising home prices are due to currency and demand, including demand from real estate speculators in previous years. And with China's purchase restrictions and lending limits, speculators have largely said goodbye to the Chinese market. However, prices have not fallen in most Chinese cities because there is so much demand for the development of well-equipped, opportunity-rich, high-income, knowledgeable, big-picture city life. This is still a demand for GDP. Even the overseas edition of the People's Daily published an article saying that China will no longer rely on housing prices to develop its economy, at least suggesting that previous economic development was or was largely driven by housing prices.

Money circulation has increased. Some experts say the key to rising prices is M2. real estate has been the biggest investment right behind broad money circulation for the past 20 years. With more money, the real economy can't absorb it, so we have to invest in order to drive up prices. The law of supply and demand. Chinese people have a traditional mentality of owning a house. Combined with the dramatic growth in urban population and strong demand, personal housing loans offered by banks have lowered the threshold of home ownership for the average person. From a supply perspective, the lack of supply of land for residential construction is also a major reason.

Land finance and high land prices. Under the idea of land finance, a large number of local kings have appeared, gradually raising prices and expectations. High land price pushed up the house price to some extent. In addition, large-scale demolition and relocation, the increase of these costs is also reflected in the house price. Holding costs are basically zero. Many people have a dozen suites and have enough money to essentially invest in a house. Regardless, the house was free. House prices have soared twice as high. Even if the house was purchased with a loan, there was plenty of room for those speculating in real estate to profit as long as prices rose.

Chinese mother-in-law. Chinese mothers-in-law and Chinese mothers-in-law are both groups that have attracted a lot of attention in the market. Their role in driving housing prices is a factor that cannot be ignored. Traditional notions of housing standards are y rooted and have been further developed with the help of Chinese mothers-in-law, creating a large market for newlywed housing. One child. The demographic real estate market provides a solid market. 8090 years later, many of them are only children. Parents can utilize all their financial resources to help their children. Also, parents have many siblings. This also provides a range of funds.