As China’s housing crisis deteriorates, people have stopped pay mortgages on their unbuilt homes. This is a huge problem for the CCP, because if the real estate sector goes south, the Party’s legitimacy could be challenged. In this episode of China Uncensored, we look at what led to the crisis, how people are protesting, the government’s response to the protests, and why it’s unlikely to get better any time soon.
That threatens the very existence of the chinese communist party i know, i’m gonna need to be more specific. the a cheesecake factory menu. is that a menu or an encyclopedia? despite years of the big wall street it’s becoming pretty obvious that there is by the way, “something seriously wrong with the economy” is only
In the but perhaps the biggest warning sign is the real estate crisis. 30% of china’s gdp. so if that goes down, the party’s legitimacy is not based on any kind of high ideals like freedom and democracy. it’s based on providing money and jobs to the people—so long as they agree to an authoritarian police state.
It’s kind of like if that one kid we all knew growing up who only had friends because he had a trampoline… destroyed his trampoline. that and now the real estate crisis is threatening the economy. the problem is real estate developers pre-sold homes. in other words, people paid for apartments i’d say that’s like
Putting all your eggs in one basket, the basket before the chicken’s laid the eggs. the problem is in many cases, developers the german media company dw sent a team to china “well one of the things that’s really extraordinary here and the problem is this whole road is lined a whole row of things
That were paid for, my book shelf? i swear, i’ll finish one of those books someday. and what does this mean for the people who have well, dw also interviewed someone who bought one of these apartments. “i bought the apartment in 2018. it was agreed it would be ready in 2020, but they stopped work in 2019 and
They’re still not working on it now. it was wise of him not to reveal his name or face, and not only did people lose the money are people upset? you bet. and they’re protesting. people have spent a lot of money and they’re still paying money on the that’d be like still paying a music instructor two years after
Your kid gave up piano lessons. although, to be fair, i’d pay my neighbors to make sure their kid never resumes those lessons. people became fed up, and back in june, and despite a desperate attempt any mention of the mortgage protest online, the movement has only grown. this github list is called we need home.
It shows the number of real estate projects across china whose buyers have joined the mortgage boycott. there are now 342 projects on this list, and “with no sign of construction picking more homebuyers have told reuters they plan to turns out you can’t get paid millions of dollars for doing there is a
Lot at stake here for the proportion of bad loans related to property has surged to 30%.” if these unfinished projects don’t get completed, and even the ccp doesn’t have enough, ahem… and with a major meeting of the this is a really bad time for such a potentially devastating protest. heavy handed censorship is one of the
Downsides one chinese homebuyer told reuters, stability and has not thought about projects. there’s nothing we can do if the government doesn’t help us.” that’s what communist systems do. they take away the power of the individual, making them that one kid we all knew growing up who only had friends because he had a
Trampoline… destroyed now that the problem has become authorities in zhengzhou, where the mortgage protests began, are offering homebuyers “loan payment holidays for which is a bit of a shallow gesture, that stopped paying their mortgages… can stop paying their mortgages. that’s like catching but they’ve
Also promised to start building the stalled housing projects. where will the money come from to start building? “beijing is making of the problem is, that could increase inflation—which is already pretty bad. no wonder the things to protest in china menu is so thick. but hey, at least the communist party is giving
People a 6 month moratorium on their mortgage payments. after all, you can’t protest by not paying your mortgage if the government gives you six months where you don’t have to pay! then well, here’s the catch. one person told reuters after the 6 months are up, moratorium ends, regardless of the state of and he
Says if the construction but the communist party’s patience for that is running out. to beijing to appeal to the central government. local authorities are rewarded for keeping things one person reuters spoke to was getting a lot of calls from police. in fact, she produced, sooner or later that will be an invitation to
Drink tea. demonetizing our episodes, the only reason on patreon or locals. i call them the china uncensored 50 cent army. and as a thank you, drowning goldfish on patreon. “i or simply living in china amid numerous other issues (such as pollution, or gutter oil, fake food, tofu dreg building, shaky skyscrapers,
Oh why drowning goldfish, i would definitely say those other things kill more people in china than covid. according to official statistics, there’s only been about 5,200 deaths since the pandemic began. in fact, from april 2020 to march which is almost as believable as michael jackson’s marriage. during the shanghai
Outbreak because they and then after the shanghai lockdown ended, boom, no covid deaths again. to admit that those other things kill more unless of course…those covid numbers are lies. somehow i don’t think they’d admit that. if they did, they’d get stuck in a logic loop and their head would explode. which
Is something else that then again, cognitive dissonance is par for the course under communism. and thank you for watching. if you