Chinese Real Estate Market

The Chinese real estate market encompasses residential and commercial real estate in the People’s Republic of China. The Chinese real estate market accounts for about six percent to 10% of China’s gross domestic product (GDP). With the general boom that China’s economy has experienced over the past decade, Chinese real estate prices have been rising rapidly, with some analysts taking the position that the Chinese real estate market is in a bubble comparative to the American housing market in 2005. The Chinese government attempts to control the Chinese real estate market by changes in interest rates for home loans and changes in cash down-payment requirements for home purchases.