China Real Estate Crisis: Since the Corona Pandemic, China’s troubles are not taking the name of ending. Once again Corona is ready to spread its foot in China. This is directly affecting the property market of China, which is witnessing a significant decline. Global investors are now gradually withdrawing their investment from China, and are seen willing to make big investments in India’s real estate sector.
Decline in China’s property market
China’s real estate sector was already witnessing a decline since the Corona period, and the Corona epidemic ended it completely. China’s property business is on the verge of stalling. Global investors are leaving China and turning to India.
The decline has been going on for one and a half years
New home prices in China have fallen at the fastest rate in 7 years, according to data from China’s National Bureau of Statistics. While on the basis of floor area, October has also seen a decline for the 15th consecutive month. Investment in real estate development fell by 8.8 per cent for the month till October compared to this time last year, with commercial floor space falling by 22.3 per cent. At the same time, there has been a decline of 26.1 percent in the revenue from commercial buildings.
Company in the jugaad of investment in India
Property Price Index in India has been increasing continuously in the last few years. The All India House Price Index published by the Reserve Bank of India (RBI) grew at an annual rate of 3.5 per cent for the quarter ended June, which is higher than 1.8 per cent in the previous quarter. Real estate firms like Singapore’s Capitaland Investment (CLI) want to invest in India. One-third of the company’s assets are in China. Trying to diversify my portfolio. CLI is looking for future investment opportunities in Vietnam and India.