Housing market in China Essay Sample

Housing market in China

China housing industry is one real estate industry around the world making investors in real estate rich with hot money. A house is a fundamental need for living and access to a house is one of the basic human rights that accords people great joy and happiness. The Chinese housing industry has been faced by numerous malpractices due to poor housing policy and the unique supply demand structure (Bristow, 2010). These malpractices have lead to the need for reforms in several aspects that influence the housing industry and this is the topic of interest for this Study.

This study will use panel data and make us of econometric approach. The data will be both qualitative and quantitative and will be provided by various sauces of economic and housing data. The sources will include published books on the issues, policy documents such as the government housing policy, reports and articles published following previous research on the same issues, information from financial institutions in the country such as the banks that give loans to the buyers and investors and others. The use of multiple sources of data will definitely ensure that a wide range of compatible data is available for the study. The data provided by these sources will be able to meet the data requirements for the study.

The literature provides interesting information about the changes in the Chinese housing industry and the current position of the industry. Studies reveal that the Chinese housing industry has faced reforms that that have taken four phases to realize. I in the initial stages the government was the sole fanciers of all housing project which tended to exclude some people. This changes gradual and at the moment private investors have taken change making huge profits from home buyers (Jianping, n.d.). Recent regulation by the government have made the investor move to second tier cities where prices are still relatively high thus ensuring that they still make more money (Finkelstein, 2010). Economically the Chinese housing market is still growing and provides the focal point for the countries economy.

The resources required for this project included several day and as low as one student. The study is feasible and adequate sources and literatures are also available to support the study. The scope of the study is limited to the housing policy and the supply demand structure.

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