Chinese households’ concentration of wealth in real estate is magnifying the danger to the world’s second-largest economy of any property bust, as the nation grapples with the consequences of its record credit surge.
Liu Yuan, son of former Chinese President Liu Shaoqi, was named political commissioner of the general logistics department of the Chinese People’s Liberation Army, the China News Service reported on its website today.
Home prices near an area that Shanghai has designated as a free-trade zone have surged 30 percent amid expectations the development will boost housing values, according to China’s second-biggest property brokerage.
Nomura Holdings Inc. is recommending dollar-denominated bonds of five Chinese developers for 2013 as a recovery in sales boosts cash flow, contrasting with Morgan Stanley that has twice cut its outlook on the debt since August.
Kevin Xi had no trouble getting a mortgage to buy a 1.53 million yuan ($242,563) one-bedroom apartment in Beijing last month, even as China’s government tries to cool the housing market. He even got a 10 percent reduction on interest.