In the past few years, under the comprehensive action of various factors, China's housing prices have been soaring all the way, rising like a rainbow, which has caused a great impact on China's society, economy and people's livelihood.
High housing prices have not only become an economic problem affecting the national economy and people's livelihood, but also a political problem affecting financial security and social stability.
Looking around the world, the real estate industry has been a "heartache" in most countries! From the United States to Europe to Japan, the real estate industry has had a strong impact on the social economy of these countries!
Due to China's own characteristics, the real estate industry is even more dangerous! The main reasons for this are as follows:
First, the commodity "housing" has special attributes.
"Housing" is a special commodity with special properties that are not easily damaged and can be stored for a long time.
It is not like radishes and cabbage, which will rot and deteriorate over time, and even after 10 years, 20 years or more, its own characteristics will not change much.
This provides extremely favorable conditions for those speculators to hoard housing, push up housing prices, and make huge profits.
Second, there are many Chinese, and land resources are relatively scarce.
China is the world's most populous country, and by 2020, china's total population has reached 1.41 billion people.
Because China belongs to the continental monsoon climate, the western part is dry and rainy, the Gobi and desert are widespread, and most of them are not suitable for human habitation, so most of China's population lives in the central and eastern regions.
This is the current situation in which China's population is relatively concentrated and land is relatively poor.
This situation determines that China's housing supply will be in a state of tension for a long time, which provides fertile soil for speculators to make waves.
Third, the profit-seeking nature of capital will inevitably push up housing prices.
The special attributes of "housing" and the relative shortage of housing supply will attract a large amount of capital to chase.
The influx of capital and the increasing number of housing purchases inevitably push up house prices.
Rising house prices, in turn, stimulate more capital to pour into the housing market, thus driving a further surge in house prices!
This vicious circle is bound to have a serious consequence: a huge amount of housing is hoarded in circulation and continues to increase. So the bubble is created, and it blows bigger and bigger.
Until one day the limit is reached, which will eventually lead to the complete bursting of the real estate bubble, which will trigger a series of financial risks.
It can be seen from the recent Evergrande incident that real estate enterprises generally have the problem of excessive loan rate, and once the capital chain is broken, its damage to the financial system will be immeasurable.
Coupled with the implementation of the pre-sale system for housing sales in China, the bankruptcy and closure of housing enterprises will cause buyers to pay in advance to lose all their money, and will have a serious impact on social stability!
It follows that if the housing supply were to be regulated entirely by the market, a bubble would be inevitable.
And once the bubble bursts, its blow to the national economy will be fatal! The damage it will cause to social stability will be unbearable!
What's more, this process will be like an economic crisis, going back and forth. Hype – bubble – inflation – collapse – financial tsunami – economic crisis will haunt us like a nightmare for a long time, making us never get rid of it!
In order to reduce losses, even if the government takes the initiative to burst the bubble, the blow to the economy is obvious!
Therefore, if we want to solve this problem fundamentally, we must completely change our thinking and change the past practice of relying entirely on the market to solve the housing problem.
Learn from Singapore, and regard the construction of affordable housing such as low-profit housing, affordable housing, and cost housing as the main way to solve the people's housing problem, rather than as an auxiliary measure.
In this way, we can better maintain social stability and social fairness, fully embody the superiority of socialism, enable the people to live and work in peace and contentment, fully enjoy the policy dividends of reform and opening up, ensure social and economic and financial security, and truly achieve the ultimate goal of "housing and not speculation"!