rofl, reasonable for who? How many people in the second tier cities make 5000RMB a month? Or 3000? 2000? 1500 maybe?
5000 * 40 = 200,000 RMB 40m2 is pretty small but decent enough for a family of 3 (they wish), but more likely 5 (the grandparents, to help with the kids and chores).
Let's say you make top of the tier (in a second or third tier city, which would make you connected)5000RMB a month, and it will require you 40 months which is up to 4 years without spending another dime on anything else to pay for that house. I can also tell you that 200,000 RMB doesn't give you a house per se (it only gives you a concrete shell), you still have to renovated and furnish it. That's what? 25-50% of the cost of the building? So that's another 50-100,000 RMB down the drain. What about management fees and others etc?
Iirc, you are married to a real estate developer, right? So please don't take offense when I say your pov is skewed to say the best. You will start to sound like some of the GOP candidates, if they don't have bread, let them eat cake.
huh? I don't have permission to edit?
Anyway, a double post then:
edit to add:
I happen to catch a Chinese clip on real estate, and it reminded me of some points that I should add.
Chinese housing bubble is entirely created by the speculators. As the numbers shown in the article, there are actually a lot of housing development in some of these 2nd or 3rd tier cities with completely empty rooms. The actual occupying rate for some of them is below 5%. These modern ghost towns are quite eerie to behold. The Chinese government has actually brought out quite large hammers over the years to try to contain the problem, but they haven't been very successful. Even in the plutogarchy that is China where one party holds absolute power, there are too many people making too much money to be stopped by most of these policies.
I was going to post some economist links for some figures, but they went with the WSJ model, so you have to pay to read now. I also figures there would be no one that is seriously interested in those anyway.
It's not like there would suddenly be a serious discussion about China or its economy anyway.
Edited by Starseeker, 07 December 2011 - 11:20 AM.