Chinese love property. 90% of families in the country own their home, giving China one of the highest home ownership rates in the world. The majority of Chinese investors’ portfolios are dominated by property.
Few things influence the consumer confidence like house prices in China and prices are soaring – in Shanghai they climbed 31.7% year-on-year in December 2016 for example. With house prices varying city by city, recent home purchases will have spent a lot more in cities like Beijing and Shanghai than Xi’an and Changsha, which can alter their spending on other consumer goods.
Few things polarise the disparity among Chinese cities quite like house prices, as the following infographic will illustrate.