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Subject:
Buying property in china for investment
Category: Business and Money > Economics Asked by: miketong-ga List Price: $15.00 |
Posted:
19 Mar 2005 05:49 PST
Expires: 29 Mar 2005 07:30 PST Question ID: 497163 |
I live in the UK. I'd like to buy a property in china as the growing economy there suggests it could be a good investment. What are the property prices in china? Where is the best place to buy for investment? (Increase in property value) What are the potential risks? What companies exist to help overseas clients buying property? How easy would it be to rent the property out? What issues exist for securing a mortgage on an overseas property (would I need to use a lender based in china or at home?) |
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There is no answer at this time. |
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Subject:
Re: Buying property in china for investment
From: coloryan-ga on 19 Mar 2005 20:33 PST |
Where in China are you interested in buying? What type of money do you have to invest? |
Subject:
Re: Buying property in china for investment
From: siliconsamurai-ga on 20 Mar 2005 13:31 PST |
You GOTTA be kidding, unless you have a 50,000,000 "man" army to dispute it, all the land in China belongs to the People's Republic of China at this time. Before investing in real estate it helps to have a legal structure which recognizes private property and actually has a judicial system which might, just possibly, uphold your claims. Why not try some STABLE country such as Russia where you get to keep property unless it becomes too profitable? How about some swamp land in Florida? at least it really exists, the only problem is that it is under water. |
Subject:
Re: Buying property in china for investment
From: myoarin-ga on 20 Mar 2005 14:55 PST |
HI, you want a lot for $ 15. But I don't agree entirely with Siliconsamurai-ga. I don't think everything belongs to the PR of China. Around Shanghai there are billboards advertising homes (or home lots) and I expect wealthy Chinese do buy them with the assurance that they have real ownership, but I also expect that a foreigner could and should have some apprehensions. You probably aren't interested in that kind of property anyway. |
Subject:
Re: Buying property in china for investment
From: financeeco-ga on 21 Mar 2005 00:46 PST |
Last I heard, the Bank of China was restricting property investment in general. I would assume this means an especially focused crack down on foreign investment in the sector. BoC fears foreign "hot money" enough as it is... I would doubt you'll be able to get the capital into China to make a purchase. |
Subject:
Re: Buying property in china for investment
From: siliconsamurai-ga on 21 Mar 2005 07:26 PST |
With all due respect, what myoarin says is entirely true, you CAN have private property in China, at this moment - the problem is that it is a dictatorship and if something looks to be valuable the government will simply change the rules and you have ASBOLUTELY NO recourse if they tax you out of existence or simply confiscate your property - just WHO are you going to turn to for help against China? What it boils down to is that, unless you actually become a member of the Chinese Communist Party's equivalent of the Politbureau, you have precisely ZERO guaranteed rights in mainland China, and, as a practical matter, only limited rights even then. My basis for such a blanket statement is a long time friendship with some one who served as both the assistant to the DDO and assistant to the DDI at the CIA. There are some GREAT investments you can make in China, but not in real estate as long as any and all rights can be voided at a whim. Probably the best current investment is to simply look at the energy demand in China and buy oil/coal investments in other parts of the world entirely since it is a global supply/demand situation. |
Subject:
Re: Buying property in china for investment
From: myoarin-ga on 21 Mar 2005 09:15 PST |
I'll agree with that. If you think that the Chinese are going to have the Yuan (currency) float instead of keeping it tied the US $, Chinese securities could be interesting, or a forward exchange contract, risky, but not as risk as buying land. "Unbuilt" land at that distance would be a problem, since you would be at a great disadvantage if someone just moved in (look at the question on "nine points of the law"), and dependable and trustworthy management of buildings would be too, -- as it can be everywhere (to sooth Chinese feelings). |
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