Proceedings of the 8th International Conference on Financial Innovation and Economic Development (ICFIED 2023)

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Analysis of the Cause of Recent Mortgage Boycotts in the Chinese Real Estate Market

Authors
Junkai Qian1, *
1University of California-Davis, Davis, CA, USA
*Corresponding author. Email: jkqian@ucdavis.edu
Corresponding Author
Junkai Qian
Available Online 15 May 2023.
DOI
10.2991/978-94-6463-142-5_72How to use a DOI?
Keywords
Real Estate industry; Mortgage; Market expectations
Abstract

China, as one of the most populous countries in the world, has a substantial proportion of its real estate industry in its GDP. Millions of people are closely related to real estate, and most Chinese generally believe that only real estate property can provide the foundation of a home. However, recently, real estate companies have encountered severe problems, one after another, and many unfinished properties have been stopped building. Lots of consumers are worried that even if they pay off their loans, they will still not be able to obtain real estate, so they choose to stop paying their loans. With decreasing confidence in the market, we wanted to analyze what caused the situation. In this article, we explain the industry’s history, the recent problems they encountered and combine recent news to determine the cause of the incident. The excessive development of the real estate industry in a short period of time, extremely high rate of mortgage loans, overly optimistic market expectations, and the impact of the economic environment have produced a series of results. We also proposed recommendations to help authorities and consumers navigate the current situation.

Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 8th International Conference on Financial Innovation and Economic Development (ICFIED 2023)
Series
Advances in Economics, Business and Management Research
Publication Date
15 May 2023
ISBN
978-94-6463-142-5
ISSN
2352-5428
DOI
10.2991/978-94-6463-142-5_72How to use a DOI?
Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Junkai Qian
PY  - 2023
DA  - 2023/05/15
TI  - Analysis of the Cause of Recent Mortgage Boycotts in the Chinese Real Estate Market
BT  - Proceedings of the 8th International Conference on Financial Innovation and Economic Development (ICFIED 2023)
PB  - Atlantis Press
SP  - 650
EP  - 656
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-142-5_72
DO  - 10.2991/978-94-6463-142-5_72
ID  - Qian2023
ER  -