Debate:how to burst the real-estate bubble?
Raining hot prices in real estate market China's city governments and ministries have been told to build more low cost housing. They have also been ordered to push property developers to complete projects more quickly in order to help ease property prices. The directive has come from the country's cabinet, the State Council, amid fears of a property bubble. It also says it wants to prevent speculative foreign investment pushing up prices even further. China's leaders are worried that house prices in many cities here are rising too fast now.
El fenómeno de la burbuja inmobiliaria es producto de una gran cantidad de factores políticos y sociales, nacionales e internacionales, que se suceden y se entrecruzan en una maraña harto compleja. Mi ánimo fue el ejercer de puente entre la información que publican los periódicos económicos y el ciudadano medio. Lo que intenté conseguir a toda costa fue ofrecer una visión de la década 1998-2008 que dejara claro que todos los sectores sociales del país tuvieron un papel fundamental en la inercia colectiva que nos llevó directos al desastre, aun cuando se podría haber evitado.
How Wall Street has turned housing into a dangerous get-rich-quick scheme again Over the last year and a half, Wall Street hedge funds and private equity firms have quietly amassed an unprecedented rental empire, bought more than 200,000 cheap, mostly foreclosed houses in cities hardest hit by the economic meltdown. Lucky for us, they are going to rent these foreclosed houses back to us. In the process, it’s devised a “new” form of securitization that could cause this whole plan to blow up – again: the evictions. Wall Street is using its experience to replicate the model around the world, beginning in Spain.
A man walks across a snowy overhead bridge towards business buildings in Beijing (January 6, 2010, China Daily).jpg A man walks across a snowy overhead bridge towards business buildings in Beijing (January 6, 2010, China Daily) In China housing starts nationwide rose a staggering 194% year-over-year in November 2009. And the central bank noted new home mortgages in the first nine months of last year totaled about $139.5 billion, quadruple the amount offered a year earlier. The China Daily noted that in terms of house prices as a proportion of incomes, China is now the most expensive place in the world. Indeed, there is a whiff of Dubai about the Chinese property market at the moment. By one estimate, the vacancy rate of Pudong, the central business district of Shanghai, is as high as 50% This is not to say there's not a real estate bubble in China. Rather, overinvestment and overbuilding is sometimes a prerequisite of an anticipated mass urban migration such as the one China is destined to experience.
Shenyang, China - March 11 2009: A child plays along a railway at a shanty town where residents will move into low-rent apartments provided by the government.
In Internazionale, Marzo – Aprile 2009 Discussioni:1-) Immobiliare: private equity, al via il fondo dei fondi!2-) Accordo Fiat e Chrysler: quale è il costo per i lavoratori e pensionati? Per Vincenzo Simoni – primo maggio 2009.
Click on the image to enlarge it. I've said it before, and I'll say it again. If there's anything good that has come out of the financial crisis it's the slew of high-quality graphics to help us understand what's going on. Some visualizations attempt to explain it all while others focus on affected business. Others concentrate on how we, as citizens are affected. Some show those who are responsible. After you examine these 27 visualizations and infographics, no doubt you'll have a pretty good idea about what's going on.
Center for Public Integrity Investigation Identifies Top 25 Subprime Lenders and their Wall Street Backers WASHINGTON, D.C., May 6, 2009 — The top subprime lenders whose loans are largely blamed for triggering the global economic meltdown were owned or backed by giant banks now collecting billions of dollars in bailout money, according to Who’s Behind the Financial Meltdown? , a new investigation by the Center for Public Integrity.
By La Rédaction de Money Week, 03 April 2009 - By Caroline BruneauCould the expropriation of shareholders, the last-stand rescue strategy adopted by the German government, happen here? The goal of the German operation: to save a little-known bank, Hypo Real Estate, from collapsing, taking all of the German banking system with it. HRE has accrued a debt of nearly €100 billion and the government is forced, under a special law for emergencies, to keep this sick monster afloat.
by Mike WhitneyGlobal Research , April 21, 2009Due to the lifting of the foreclosure moratorium at the end of March, the downward slide in housing prices is gaining speed. The moratorium was initiated in January to give Obama's anti-foreclosure program---which is a combination of mortgage modifications and refinancing---a chance to succeed. The goal of the plan was to keep up to 9 million struggling homeowners in their homes, but it's clear now that the program will fall well-short of its objective.