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House prices pressure salary earners

2010-03-07 18:52 BJT

Special Report: 2010 NPC & CPPCC Sessions |

Among all the proposals raised by NPC deputies, nearly half have concerned rising housing prices. As our reporter finds out, salary earners are increasingly becoming anxious about life and the future.

A Tao has been working for a media company for six years after graduating with a master's degree. Despite being together with his girlfriend for several years, he has delayed marriage because he can not afford to buy a home.

A Tao, Media Employee, said, "The pace of salary increases can not catch up with the rise in home prices. Last time we saw a project, our savings was almost enough for the down payment. But now, as prices keep rising, we can't even afford the down payment."

For those who have already purchased a home, life is no easier. Mr. Liu is a doctor. He bought a home after working for 20 years. Together with his wife, they will pay 3 thousand yuan a month for a 20 year mortgage, about half their income.

Dr. Liu, Home buyer, said, "Since we bought a house and got married, we never bought flowers, never went to the cinema. I never bought jewelry for my wife."

In Guangzhou, new homes had an average selling price of 4 thousand yuan per square meter in 2004. In 2009, prices rose to 9 thousand yuan, more than doubling in five years.

According to the latest figures, Guanghzou's home prices are 36 times greater than an individual's average yearly income. For the average resident, it will take nearly 36 years to buy a home with reasonable space.

Local Resident of Guangzhou said, "I am an associate professor. My income is better than most people. But for me, I still can't afford to buy a home."

The city's salary workers are increasingly seeing the prospects of owning a home, as only a dream.

"We buy a house, then we become a slave to our mortgage. We will work hard to pay for the house for our whole life. We have to manage to make ends meet before we are 60. After we finish paying off the mortgage, we are too old to do anything."

Analysts point out that to buy a home, means not only an overdraft on incomes for the the next few years, but also on their children's education and chances for investment and business opportunities. High housing prices are levying a heavy toll on urban salary earners.

Editor: Zheng Limin | Source: