Salient to Investors: Centaline said a wait-and-see attitude is still prevalent among homebuyers Donald Yu at Guotai Junan Securities said there is still room for prices to go down further as the policy easing only increased the number of people qualified to buy, not the number of those able to as mortgages remain
READ MORE... →Salient to Investors: Naoki Kamiyama and David Cui at Merrill Lynch said: China is weaker than it appears, resembles Japan in 1992, and may enter an asset-deflation phase. China’s imbalanced growth, government stimulus, overcapacity, overwrought housing market, and severely under-capitalized financial system may be a more serious problem than Japan’s was in the
READ MORE... →Salient to Investors: Since 2011, online investors since 2011 have helped drive a 50-fold increase in financing through peer-to-peer websites, and are turning to property as falling home prices prompt China to ease curbs aimed at stamping out speculation. China is trying to revive local-government revenues at the risk of
READ MORE... →Salient to Investors: Zhu Haibin at JPMorgan Chase said property investment will remain the biggest macroeconomic risk in half2 even as a deceleration in investment is less severe than half1. Hua Changchun at Nomura said completed apartments must come to market sooner or later, and potential buyers will continue to
READ MORE... →Salient to Investors: Tian X. Hou at T.H. Capital said rising China home sales signal that the government won’t take irrational steps to curb growth of China’s property sector. Read the full article at http://www.bloomberg.com/news/2013-12-12/goldman-buy-call-spurs-e-house-rally-china-overnight.html Click here to receive free and immediate email alerts of the latest forecasts.
READ MORE... →Salient to Investors: Housing in Australia accounts for 60 percent of average household wealth versus a global average of 45 percent. Average household debt has been near 150 percent of annual income since 2006 versus 135 percent in the US. House prices have not fallen more than 10 percent in
READ MORE... →Salient to Investors: Chinese landlords are forgoing rent and paying to outfit stores for mass-market fashion brands to blunt the impact of a boom in shopping-mall construction that threatens to push up vacancies. Big mall operators can withstand the slowdown at the expense of smaller ones as smaller cities add retail space
READ MORE... →Salient to Investors: New home prices in Beijing, Shanghai and Guangzhou posted the biggest gains in May since at least January 2011, and 69 of 70 cities tracked showed increases, the most since August 2011. Zhang Zhiwei at Nomura said China’s dilemma is that it is difficult to tighten the property
READ MORE... →Salient to Investors: China’s swap market is signaling interest-rate increases for the first time since 2011 after inflation accelerated to a 10-month high and the housing market defied government-cooling efforts. Hedge funds are making the biggest bet against copper on record. Edward Meir at INTL FCStone said China’s growth story remains intact, but
READ MORE... →Salient to Investors: Deutsche Bank said Hong Kong prices could fall as much as 20 percent over the next 2 years after lenders raised home loan rates. Buggle Lau at Midland Holdings said the pile of measures plus higher interest rates will be a big challenge for the market – as many as
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