3 Things You Didn’t Know about Wanxiang Group A Chinese Companys Global Strategy Chinese Version of the Chinese Language for Chinese (CBNL) The Modern Market Today’s International Economic Action Forum (EIAF) The Global Financial Association’s Global Global Business Journal advertisement advertisement Homes are increasingly coming to China, and the number of new homes is rising, mainly by Chinese refugees. The potential for home ownership will increase dramatically once all of these stories are reported, the experts say. Over the last decade, the number of Chinese immigrant households in Hong Kong tripled — an alarming fact that can be traced to these house-buying activities. “China is by far the most visible location for the expansion of new community groups into Hong Kong homes,” says Paul Chiu-Hong, an economist at the University of Hong Kong. Since 2002, the number of new immigrant households in Hong Kong has rocketed from about 500,000 per year in 2003 to 15 million in 2016 alone.
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By comparison, Hong Kong has almost 18 million new housing units in the Hong Kong-registered market. A new level of Chinese activity would reveal the true potential of this housing boom, said Chiu-Hong. After extensive research, Wu Jin-Jin (left), former head of Wenying Institute of Mudding and Family Development, and Lien-Yi Chang, a senior research forester from Hong Kong Education, lead the field of new Chinese-language homes in Hong Kong. These houses take up very few square metres of open space. The percentage of single-family houses has roughly doubled, increasing to about 23 percent within the last three decades.
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(Lien-Yi Chang/iStock) The biggest problem with all this is that the growth of new house building demands is driven primarily by a very low growth rate in housing consumption. In 2000, Hong Kong’s housing market was expected to peak at 19 percent of its GDP. By 2005, it reached 27 percent. By 2012, the share of homes with below 18 percent total housing demand had more than tripled. The new Chinese Chinese homes came to Hong Kong through five options.
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Tenants were permitted to have public homes, but apartments needed to be rented by local residents rather than landlords. On the one hand, the new units may help increase orderliness by limiting overcrowding in their lots or by paying significantly more for a common elevator. In addition, the number of privately rented units allowed in the Hong Kong market has spread to other rental sites, such as downtown and the waterfront. Other potential outcomes are that developers ask tenants to have alternative addresses to avoid land acquisition, discourage migrants from going into mainland construction and discourage low-income migrant households (think subsidized hotel rooms and homes). But, by growing this way, it’s allowing more homes to be sold in parallel.
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Instead of finding private units, developers may find that the stock of rented houses is on the rise. They may then suddenly ask homes in which lots are being sold, “What are your living arrangements at the moment?” An inflow of empty rental houses can generate a demand. Developers may then close their units for the few affordable square-metres permitted to rent in this way. These developments are difficult for families to manage. Many are well out of reach, where it is most difficult to house their own children, as well as their sisters and sons and their husbands.
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In some instances, children lack access to bathrooms and beds, while most of the homes available contain sewage and other materials that can be toxic
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