home prices

home prices

China's Economic Foundation Shaken by Drop in Home Prices

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China’s property sector is suffering, as prices fall and developments are left empty. It is the bad news Beijing has been fearing. Full Story: Home buyers in China, beware. Annual housing prices fell in September for the first time in nearly two years. It's the bad news Beijing's been fearing and why the nation has shifted gears on home buying policies. Empty developments dotting the landscape in China, evidence of a sluggish sector that ground the third quarter economy to its slowest pace in nearly six years. [Jane Lanhee Lee, Reuters Reporter]: "It's not just small cities with ghost towns that are haunting the market. Even China's financial capital Shanghai is suffering. To help ease the pain, China cut mortgage rates and trimmed downpayments for some home buyers late last month." And across China, in dozens of cities, local governments have been lifting earlier curbs on home buying. So why is the government so worried? The health of China's property sector has a knock-on effect on the rest of the economy. Industrials like steel plants to cement makers are hurt by any fall in construction and banks get saddled with bad debt as unsuccessful developers fail to pay their loans back. For more news and videos visit ☛ http://ntd.tv Follow us on Twitter ☛ http://twitter.com/NTDTelevision Add us on Facebook ☛ http://on.fb.me/s5KV2C