...The Quest of Housing in China “Do you have a house?” This has become a common question for young couples deciding whether to get married in China. As for Shanghai, the daily struggle of living in China's financial hub finds vivid expression in the hit TV drama “Dwelling Narrowness”. In the drama, two sisters regard having a house by themselves as the basic rule to live in Shanghai, and finally, they find a house, but lose happiness. A government official named Song Siming in the drama is punished because of the beneficial relationship with a real estate agent. The housing prices in China have climbed to an incredible level, especially in some big cities, such as Shanghai, and Beijing since 2000. An analysis of the drama "Dwelling Narrowness", which highlights Chinese people's quest to find adequate housing, a comparison of China's housing situation before and after the year 2000, and an understanding of the current housing market show that the Chinese government should do something effective to solve this tough problem, such as increase bank loan rate and tax on the second house, or else the housing issue will threaten the way of China's development. Housing situation before the year 2000 is different from that after 2000. Before the year 2000, houses are just relative expensive than other things, but most people can buy one through their hard work. As I remembered, nearly everyone had his or her own house at that time; so people did not think that house could become...
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...leading to a collapse in several mortgage lenders. Recurrent foreclosures and the harms of subprime mortgages were caused by loose lending practices, housing bubble, low interest rates and extreme risk taking. Additionally, expert analysis on the 2008 financial crisis asserts that the cause was also due to erroneous monetary policy moves and poor housing policies. The federal government encouraged the expansion of risky mortgages to under-qualified borrowers. Congress pushed for the support of affordable housing through extended procurement of non-prime loans for applicants with low income (Zandi, 2008). The cutting down of interest rates to low levels to supplement for technology bubble of early twentieth century and the effects of Sept 11, a housing bubble was created. This move facilitated individuals with poor credit to obtain mortgages in high percentage when lenders created non-conventional mortgages by offering mortgages with extensive amortization periods, loans with interest and payment alternatives such as ARMs. Ultimately, interest rates rose again and many subprime borrowers stopped paying for their mortgages when their interest rate were reset to higher monthly payments. Subprime mortgage is simply defined as loan offered to someone with a weak credit history. Since the 2008 financial crisis had its source in the poor housing policies, low income earners consisting of members of the subprime mortgage were the most affected because of rapid increase in interest rates....
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...Danny Guerra September 27, 2015 The Unwinding: Capitalism Regulates the Dream During the 2000’s, the United States witnessed one of the worst economic recessions since the Great Depression. Between the years 2007 and 2009, America would describe its economy as the Great Recession. George Packer’s book The Unwinding: An Inner History of the New America covers the stories of non-fictional citizens, who were in one way or another, affected by the social, political, and economic changes pre, during, and post recession years. In his book Packer uses pure narrative, allowing the reader to interpret and analyze as they chose. Packer does not tell the reader the details of what has happened, why it happened, or whom to blame; instead, he presents the idea that institutions once used to work on behalf of the common good for Americans: the government; media, political, and market institutions; and many more which have eroded. As the book journeys through the life of the people, such as Dean Price, Tammy Thomas, and Jeff Connaughton, we get a better understanding of what has shaped politics, shifted the economy, and changed the life of Americans forever. One of the most influential changes to politics came from Newt Gingrich, who in the late 1970’s created a power language. Gingrich paved the way for how politicians should win debates, “If you discussed your opponent with words like betray bizarre bosses bureaucracy cheat corrupt crisis...you had him on the defensive...
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...REVIEW 3 HOUSE FINANCE GLOBAL VIEW 3 HOUSING STRATEGY 4 CONDITIONS TO FACILITATE LENDING 8 DEMAND AND SUPPLY FOR HOUSING 8 TANZANIA HOUSING FINANCE THEORY 10 CHAPTER THREE 12 FINDINGS 12 Demand for housing finance 12 Current Condition in Tanzania 12 Access to Housing Finance 13 HOUSING POLICY AND HOUSING MARKET 14 ACCESS TO HOUSING FINANCE MAIN CHALLENGES 18 CHAPTER FOUR 21 CONCLUSIONS 21 References; 22 Abstract We examine the extent to which markets enable the provision of housing finance across a wide range of Regions in Tanzania. Housing is a major purchase requiring long-term financing, and the factors that are associated with well functioning housing finance systems are those that enable the provision of long-term finance. Across all countries, controlling for country size, we find that countries with stronger legal rights for borrowers and lenders (through collateral and bankruptcy laws), deeper credit information systems, and a more stable macroeconomic environment have deeper housing finance systems. These same factors also help explain the variation in housing finance across emerging market economies. Across developed countries, which tend to have low macroeconomic volatility and relatively extensive credit information systems, variation in the strength of legal rights helps explain the extent of housing finance. CHAPTER ONE INTRODUCTION Because of its apparent social and political importance, housing finance for the poor seems an area ripe for policy and...
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...Estate Fundamentals 4 3.1 strong gdp growth 4 3.2 rural migration to cities 4 3.3 rising middle class and strong upgrade demand 5 3.4 300 million new households in past two decades 6 3.5 limited land supply 6 4. overheating real estate market in the short-term 6 5. government steps in with tough real estate policies 9 5.1 significant increase in land supply and focus on economic housing 9 5.2 downpayment ratios and mortgage rates 9 5.3 Loan restrictions to developers 10 6. summary 10 References 11 1. Definition Real Estate A piece of land, including the air above it and the ground below it, and any buildings or structures on it. Real estate can include business and/or residential properties, and are generally sold either by a relator or directly by the individual who owns the property. In most situations in the United States, real estate is a legal designation, and is subject to legislation. Also called realty. 2. Chinese Real Estate Market 2.1 Overview about the Chinese Real Estate Market Global market volatility over the course of 2011 has pushed China's real estate market to the fore, with one...
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...All over the world, disparities between the rich and poor, even in the wealthiest of nations is rising sharply. Fewer people are becoming increasingly “successful†and wealthy while a disproportionately larger population is also becoming even poorer. There are many issues involved when looking at poverty. It is not simply enough (or correct) to say that the poor are poor due to their own (or their government’s) bad governance and management. In fact, you could quite easily conclude that the poor are poor because the rich are rich and have the power to enforce trade agreements, which favor their interests more than the proper nations. This is a very serious problem in our society today. Poverty is everywhere and it needs to reduced so that our economy will be more stabilized and balanced that it has been. What does it mean to be poor? What does it mean to describe a nation as “developing� A lack of material wealth does not define one as deprived. A strong economy in a developed nation does not mean much when a significant percentage or a majority of the population is struggling to survive. Development usually implies an improvement in living standards such that a person has enough food, water, and clothing, a stable social environment, freedom, and basic rights to have a fair chance for a decent life. Is this actually progress? On the other hand, are we fooled into believing that it is? The U.S. Department of Health and Human Services placed the poverty level for a...
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...resulting in an interconnectedness and integration of the economies of the world. The United States is constantly striving for economic growth. (Premise 1) As the economy grows it creates more jobs, causes the housing market to be productive and enables people to spend more money which continues the building of the economy. (Conclusion 1) Globalization has so many purposes and benefits that result in not just a few to benefit, but it causes everyone to benefit. Globalization is good for business because of the cheaper production cost and it helps businesses sell their products to consumers all over the world. A business can go to other countries like China, India, Brazil, Mexico, and a number of other places for cheaper production cost. (Premise 2) By doing business with these other countries at their cheaper rates, this benefits the business and the employees in these countries. It saves the business in the U.S. money by cutting cost. The employees work at a cheaper salary than they would here in the U.S. and the business can hire more employees, which will produce their products at a faster rate. (Conclusion 2) Because of the quick response time in production and delivery that these other countries provide, this increases the competition. I believe that the pros to Globalization exceed the cons. Globalization builds relationships amongst countries and it helps to develop the countries that have poor economies. Most of these poor countries have a high unemployment rate and by doing...
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...Shelter, Security and Social Protection for the Urban Poor and the Migrants in Asia Presented by, Dr. Sulochanah Nair Workshop on Shelter Security and Social Protection for the Urban Poor and the Migrants in Asia At Ahmedabad, India (February 11-13, 2009) Organized by, A Research Advocacy Program Managed by Supported by IDRC and Ford Foundation URBAN POVERTY AND HOUSING IN MALAYSIA : DILEMMAS AND CHALLENGES Dr Sulochana Nair Director The Centre for Poverty and Development Studies Faculty of Economics and Administration, University of Malaya Structure of presentation • • • • • • • Outline of presentation Introduction Increased importance of Urban poverty in Malaysia Poverty in Malaysia : An Overview Causes of Urban Poverty Housing Polices in Malaysia Concept Of Low Cost Housing • • Introduction The growing interest in urban poverty in developing countries has been brought about by various factors, the rural bias in past development strategies, rapid rates of urbanisation, rural urban migration and structural transformation of the economies of these countries. It is recognised that rural and urban poverty are interrelated and overall success of poverty eradication programmes requires a balanced approach. Urban Poverty • Challenges faced by the urban poor include limited access to employment opportunities and possibilities for earning incomes, inadequate and insecure housing, violent and unhealthy health threatening environments, limited access...
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...Applicable Housing in China Abstract The paper is about the research of applicable housing in China. It explains the definition of the applicable housing. There are some data of the research and the main problems that this kind of house meet in China at present. I also will talk about my opinion about whether applicable housing should be continued and how to make the applicable housing really help the low-income families. Applicable Housing is very special in Chinese real estate transactions. It is a government policy that provides the low-income families a house in a low price so that everyone can live in their own house. It began in 1994. It means as the development of Chinese real estate economy, there are still some Chinese can’t buy houses even though more and more Chinese can afford to buy their own house. Wealth is not evenly distributed in China. As one online dictionary said, establishing the housing supply system mainly with the economical and applicable housing was fit for the market economy of socialist and current circumstance of China. The target of applicable housing is very good. But the fact is that it works not very well. Some real estate developers haven’t built and sold the building that meet the standards of Applicable Housing while they enjoy the treatment of this government policy. As the result, here comes many problems, such as the price is much higher, the buyer is not the poor and so on. Here are some data from the research about applicable...
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...government has developed a widely cited poverty index that reflects the diverse intake requirements of families depending on their size, sex, age and family location, while also surveying the gender of the head of household. Based on previous surveys, the creators of the poverty index determined that families of three or more persons would spend approximately one-third of their income on food. Based on the poverty index the poverty level for these families would be set at three times the cost of the economy food plan. For smaller families and people who lived alone, the cost of economy food plan were multiplied at higher factors taking in consideration larger fixed expenses for these households. The Census Bureau updates the poverty thresholds every year. Another area of concern is that the poverty index has some defects. One of them being it does not allow for regional deviations in the cost of living or for higher costs in the central city areas, which is where many of the poor are concentrated. Another defect being the food costs for the budget...
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...Now Closed * Property Market Stability At Risk * Renewed stability in the property market in the past * The weakening stock market reflects poor incomes and housing affordability * Banks become increasingly risk averse * Recession And/ Or Financial Crisis Risks Growing * Economic growth structure too reliable on debt * Excess Capacity of Manufacturing industry * Chinese demand is underperforming the bullish expectations Details With the Chinese equity bubble finally bursting in line with our expectations and likely to continue declining much further from still-extreme valuations, we are assessing the potential for either a recession or a financial crisis, which we believe are growing risks. * Chinese Stocks Have Further To Fall * Negative wealth effect on Chinese households * Financing Channels Now Closed * Property Market Recovery At Risk * Renewed stability in the property market in the past * The weakening stock market reflects poor incomes and housing affordability * Banks become increasingly risk averse Given that the property market and the upstream industries supplying it (cement, metal etc) accounts for almost 30% of GDP, and property and land prices are a major source of loan collateral, the housing market remains a crucial factor in China's economy. It has been argued by some that a fall in the value of the stock market could trigger a rush into property much in the same way as the weakness of the...
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... Since 2005, real estate problem has become a hot topic, when two meetings convened life during, the central and local governments offer some corresponding measures, but also makes the real estate problem into hot issues the top spot. Real estate to measure a country's economy lost the rise. Real estate industry continues to heat up to China's economy will surely caused significant effects that have positive and negative. When the rise in house prices range in control and its influence will when outweigh the costs, conversely when house prices do not control, its influence will do more harm than good. Introduction Real estate prices question has been one of the important bothers Chinese governments, in my personal view, China's real estate prices continued to raise a few reasons. Was the total population growth, income level, continue to improve, housing costs rising prices, housing loan stimulation, rising expectations, etc. These reasons have been plagued by domestic real estate researchers, real estate prices also leads to national many influence. Its positive influence is can promote economic growth and increase GDP; Negative influence is can lead to inflation, expand the gap between rich and poor. 3.0 Research Methodology Choosing the topic and search the information on the Internet Neatening up the information I search from the Internet Collecting the data Making conclusions Analyzing the reasons by myself Coming up with the solutions of the problems...
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...PIEDMONT HOUSING ALLIANCE | COURSE PORTFOLIO PROJECT PT.1 | GB519 DECISION MAKING AND MEASUREMENT | TRAVIS N.T. DORSO 2/14/2012 | Abstract In the interest of the current economy, it would be of curiosity to look into the depths of companies that are currently being funded by the government and where these funds are being used. As the economy recesses more than progresses, consumers are finally becoming more aware of how taxes are being spent. This review is to evaluate an organization based on its product or service provided by critiquing its financial, customer, internal business and learning and growth. As the review is being read, also found will be the significant costs that are associated with the organization in an attempt to identify its quality of its product or service and if it has a significant effect on it environment, whether internal or on the economy. Piedmont Housing Alliance Piedmont Housing Alliance, for abbreviation (PHA), is a service oriented nonprofit organization that is federal funded by the U.S. Department of Housing and Urban Development, which will have the abbreviation of (HUD), Virginia Fair Housing Office, abbreviation (VFHO), as well as receiving funds from both local, state, and county governments. Its organizational goal, PHA, is to ensure quality of life by offering a variety of community development services that are targeted towards low to moderate income families in the area. Its organization is broken down into...
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...hopes of a quarter or if lucky, a dollar. Most roll their windows up and lock the car doors, turn their heads and ignore the fact this person is asking for help. The homeless population in America is growing. There are four main areas that may cause homelessness; poor families unable to afford rent, substance abusers, deinstitutionalized mental patients and runaways (Rogers, 1990). The current regulations and standards are working to improve homelessness, but surely, as the homeless situation continues to grow these legislative acts will need new acts to be introduced to meet the needs of this population. Affordable housing is becoming a desperate need for this population. According to the United States Census of 2010, about 34% of our population is homeless ("United States Censes 2010", 2011). This is a staggering number. Although some of the people are substance abusers or mentally ill, the larger part of this population is homeless because of low income jobs, unemployment, and the lack of affordable housing. These are families with children to feed and may suddenly find themselves in the street, with nothing. The Universal Declaration of Human Rights, in which the United States is signatory, states housing, is a fundamental human right (Head, n.d.). Many politicians, unfortunately, look at the homeless person as property value or public image. Many states and cities have created ordinances to work against the homeless. Some of the ordinances make it illegal to panhandle...
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...Macroeconomics 11/30/2010 What is Really Happening in Our Economy? Before getting into what I think is the root of the problem, I’d like to give a little insight into some of the opinions of my family members. Every night, my family sits down at the dinner table to eat together. Sometimes I miss out on this because I work nights, but I always have at least one night of the week home. I raised the question, “what do you think is going on in our economy?” and received a variety of responses. I started first with my 11 year old sister, who comically replied “I think that the inflation will cause everyone in the country to form an angry mob”. For an 11 year old, I’d say her assessment is pretty spot on. Next my father, a 47 year old scientist, furrowed his brow a little and then responded by saying “I think the housing market is the problem.” Because unemployment and underemployment are so high, it is becoming increasingly difficult for a larger percentage of people to buy homes. More people are living with their parents well into their twenties, since, to put it quite simply: “the rent is too damn high”. With home sales at an all-time low, new housing construction is at a standstill. This negatively affects all the people that work in the housing industry. On top of that, home foreclosure is at an all-time high. All of these factors combined are causing the collapse of the housing market. I then referred the question to my other sister, who is 17 and...
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