It was a textbook bubble. They made and gambled on theoretical apartments where nobody involved had any intention of living there or any responsibility or connection to the underlying structure, to the point where building cardboard skyskrapers became a business… the is no point in denying it. Capital housing investment is a plague on humanity.
There are always bad actors in the system (see: hedge funds). But bubble? It can be argued that Ordos (the ghost city) was build too early, but it’s filling in nicely. From 30k in 2009 to 2.000.000+ in 2020.
When Investors own houses only because it will appreciate in value from time only, that is a fundamentally flawed system because in reality houses decrease in value as they get older. It creates an environment where everyone involved is a bad actor
I’m sorry, I’m a little bit lost. I do agree that investment in owning rentals should be forbidden (and if city needs rental units they should be owned by the city).
I do not agree that “ghost cities” were built for speculative purposes. Speculants were buying them like crazy, yes, but the actual need for housing in regions planned (expected?) to undergo urbanization is real and the buildings were fulfilling that purpose.
Idk if ghost city thing was a bubble tho.
China used planned infrastructure and bunch of confused journalists in US were like “what kind of government plans for housing of their citizens”
It was a textbook bubble. They made and gambled on theoretical apartments where nobody involved had any intention of living there or any responsibility or connection to the underlying structure, to the point where building cardboard skyskrapers became a business… the is no point in denying it. Capital housing investment is a plague on humanity.
There are always bad actors in the system (see: hedge funds). But bubble? It can be argued that Ordos (the ghost city) was build too early, but it’s filling in nicely. From 30k in 2009 to 2.000.000+ in 2020.
https://en.wikipedia.org/wiki/Ordos_City
On the other hand noone ever build a damn whole modern city before for the people, so I’m not surprised they jumped the gun.
When Investors own houses only because it will appreciate in value from time only, that is a fundamentally flawed system because in reality houses decrease in value as they get older. It creates an environment where everyone involved is a bad actor
I’m sorry, I’m a little bit lost. I do agree that investment in owning rentals should be forbidden (and if city needs rental units they should be owned by the city).
I do not agree that “ghost cities” were built for speculative purposes. Speculants were buying them like crazy, yes, but the actual need for housing in regions planned (expected?) to undergo urbanization is real and the buildings were fulfilling that purpose.
I mean even if it was planned the amount of excess given falling birthrates, doesn’t check out either.
Ah yes “the stoopit west har har” propaganda lol
I was mostly going for “modern journalism is is sad and biased towards clickbait” ngl. Especially now they have AI edited articles.