Mortgage boycott is just the tip of the iceberg in China property crisis

 

Backlink: THE BL

China’s property market crisis is deepening as developers recently posted steep losses, contrasting with first-half year earnings from last year.

According to the report, the main cause of the real estate crisis in China is weak consumer sentiment as developers’ funds mostly come from presales. This process requires homebuyers to pay up front for their homes even before they are finished.