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Who knows why the house price is so high?
Why is the house price so high

1, the market is self-regulating, the house is in short supply and the price is high.

With China's entry into WTO, international capital flocked to China to seize the market, many multinational companies set up factories in China, local national industries rose, and a large number of working people flooded into Beishangguang. First-tier cities occupy resource advantages, and the influx of a large number of people has produced a desire for houses.

2, the currency is over-developed, and real estate has become a strong backing for wealth preservation.

10 years ago, the increasing over-issued currency caused the currency to depreciate, and people worried about the shrinking wealth. There are not many projects that private funds can invest in, including wealth management, stocks, real estate and other channels. Stock trading is a high IQ investment with a threshold, and its financial returns are unstable. Only real estate is an investment that fools make with their eyes closed.

3. International hot money poured into China, RMB appreciated, and foreign capital seized the property market dividend.

After China entered the global market, foreign exchange reserves increased, RMB appreciated, and international hot money made profits by investing in RMB assets (such as real estate). At that time, the China stock market was still too young and unsound, and it took courage to invest.

4. China promotes urbanization, farmers go to cities to buy houses, and students join the army of buying houses.

With the influx of foreign capital into the urbanization process of China and China, industrial foundries have mushroomed, and a large number of farmers have gone to work in cities. For example, Foxconn's factory in Dongguan once recruited tens of thousands of assembly line workers, and extended its reach to the mainland of China, establishing many sub-factories.