The real estate market in Shanghai enters into another crazy period. No matter how many experts or the government official expected the house price will go down, it continued to raise like crazy.
This weekend is another crowded weekend. Out of my window in the apartment in Pudong, I saw batches of house agents bringing their client to visit one house after another. I guess there are about 20 of them.
In the morning, when I leave my apartment early, the house agents are already standing at the entrance, and distribute their flyers – some rude one just throw it into our car window. At each intersection of our area (Chengshan Road and Jinxiu Road in Pudong), there are house agents occupying each of the four quarters. Some of them layout tables and some layout some bill boards, and others just standing there with their iconic ties, white shirts, or a badge.
Look at the house price, it went on and on and on and on to the north. A recent report I read from the Youth Daily, the second hand house volume in the first half year has been higher than the last year the whole year.
My suspected reasons are:
1) Loans and Morgages are loosened. Most of the restrictions on second and third house loans are lifted, and people can get loans as they wish.
2) The expectation for large scale RMB inflation.
I don’t know the reason (and I cannot confirm it), but I can confirm what I saw these days – a crazy market with huge volumes of transaction. Just count how many houses around myself (my friends) were sold out or bought – it is more than the last two year combined.