China’s property boom has peaked, forever – Telegraph Blogs

China’s property boom has peaked, forever – Telegraph Blogs

Here is some food for thought, if you are a China "take-over-the-world" bull.
I have just been listening to a talk on the Chinese housing market by Xianfang Ren, Beijing analyst for IHS Global Insight.
Land sales make up 30pc of total tax revenue for the central government and 70pc for local government. (For those of us who watched the Irish state balloon on the back of property taxes – when they had a fat budget surplus – this has a familiar ring.)
Construction makes up 10pc of total jobs, and a further 20pc indirectly in cement, steel, metallurgy etc. The government is building 36m homes for the poor, but that will start to run down in two years or so.
Residential investment typically peaks at 8pc to 9pc of GDP