China Hopes for First Time Buyers to Help with Housing

Jiang Lu is the proud owner of a 450 square foot apartment in the Chinese capital of Beijing. The 28-year-old web editor invested her entire life savings and took advantage of easier mortgages in China to buy her new 250,000 dollar home.

“It is very easy to get a mortgage. Any bank will give one to you,” she said. “Without one, I wouldn’t even think about buying.”  Jiang is one of the first time buyers Chinese authorities hope will help prop up China’s flagging property market.

In Beijing and many other cities across China, the housing market is starting to weaken.  New home prices dropped in July for the third month in a row with 64 out of 70 cities surveyed showing month-on-month declines. Based on data from the National Bureau of Statistics on Monday, the average price of new homes slid 0.9 percent from June, slipping faster than June’s 0.5 percent drop.


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