suffered another blow this month when frustrated homebuyers stopped making mortgage payments on units in unfinished projects.
The bonanza was fuelled by easy access to loans, with banks willing to lend as much as possible to both developers and buyers. It launched a crackdown last year, with the central bank capping the proportion of outstanding property loans to total lending by banks to try to limit the threat to the entire financial system.A wave of defaults ensued, most notably by China's biggest developer, Evergrande, which is drowning in liabilities of more than US$300 billion.
Chinese lenders said last week that the affected mortgages account for less than 0.01 per cent of outstanding residential mortgages, but analysts say the fear is how far the boycotts will spread.China is the world's second-largest economy, with deep global trade and finance links. This echoed a warning by the US Federal Reserve, which said in May that while China has managed to contain the fallout so far, a worsening property crisis could impact the country's financial system too.
Why are we even concern about their property? Tell it in your face. The CCP criminals are ticking all the items in the Nazis rule book. Genocide, military expansion, ethno nationalism, censorship, propaganda, territory in-appropriation,
The world may be worried, but the CCP is pretty cool about the whole saga.