Next 8 Cities Targeted for Speculative Housing Bubble

Bloomberg: China’s Failing Property Curbs Risk Bubble That May Hurt Economy
Ma Jun, chief economist of the People’s Bank of China’s research bureau, has warned about unsustainable valuations in the real estate market and the potential consequences. "Measures should be taken to put a brake on the excessive bubble expansion in the property sector, and we should curb excessive financing into the real estate sector," Ma said in an interview with China Business News last week.

Risks aside, property has given the economy a boost that’s helped the expansion continue prove doubters wrong and offset weakness in exports and other areas. Gross domestic product rose 6.7 percent in the second quarter from a year earlier, beating estimates and dimming expectations that the PBOC would unleash new stimulus after holding the benchmark rate at a record low since October.
Cities are expected to tighten buying restrictions, with Hangzhou adding restrictions at the start of this week. A reflection of current sentiment is this article from iFeng: 下一波暴涨轮到这8城 楼市调控大招在后面, which alerts speculators to the next 8 cities likely to boom once the credit firehouse is diverted from currently booming cities:
1, Chongqing

The main city of the expansion and relocation of indigenous peoples, construction moved north, satellite towns are Chongqing for the new super reserve forces of demand. Traffic artery through the final Chongqing will build even more powerful.

2, Jinan

Springs real estate landscape seems weaker than the reconstruction and transplantation and has been tepid. The only reason is that she is optimistic about the capital city of Shandong, and Weihai, Qingdao and other cities waterfront home handling foreign investment increasingly saturated.

3, Wuhan

Yunmeng Ze air swallowing. North-south thoroughfare of nine provinces, said something to rely on the throat, east and west traffic skeleton has been a foregone conclusion. New Metro Economic Development Zone Development Zone in Wuhan, Hubei city group in the construction process to eliminate its chronic, complete rebirth. Wuhan nine surrounding counties throughput power, attractiveness, economic pulling power and radiation effects other cities can not match. Wuhan restricting the development of the soft environment is an important reason for current economic connotation does not quite strong. But still optimistic about the enormous potential of the central city of Wuhan as the central city real estate. System developed waterfront area, the official investment to build the central business circle, three-zone plan substantive start a virtuous circle of education industry, both will make the brain drain happen in Wuhan, satellite city reconstruction, economic renewal base.

4, Mianyang

More than a rainbow, and the entire western Sichuan. When a domestic consumer Chengdu city, the Mianyang tomorrow already on the spectrum. Mianyang has also included because of the special industrial, special climatic conditions, caused special talent needs to obtain a large real estate development.

5, Weihai

One thousand yuan price rose the most shortest of the city, Weihai has its name; urban sanitation often list; three lines of the marina, naval air traffic convenience; focus on the development of the west coast; Yantai caged transportation construction; Weihai to abroad attractive, all real estate will make a qualitative change in Weihai.

6, Zhongshan

Guangzhou Zhongshan step footsteps could imagine their real estate tomorrow. Moreover, the economic base in Zhongshan, investment environment, policy efforts, the existing base of economic development, overseas Chinese overseas funds thick potential, worse than the year in Guangzhou.

7, Yichang

As eradication campaign Gui as a strategy to achieve the President of "gorges" long-cherished wish, as an "experience of life" but "Gorges", as the leading northwest Hubei Province, as both civil and military-type area, it has been in hot pursuit of Wuhan, Yichang, Wuhan Yichang today is tomorrow! Patience to give her three years.

8, Xi'an

Red Feizixiao a ride, nobody knows is to litchi. A consumption of blood lines of communication so that salty (male) West (an) Bao (chicken) even as one of the best of both worlds and Xi'an. Xi'an will usher in the spring on the basis of its real estate funds have continued to flow on. Confined to the northern part of the impact of water quality problems, the development will be Xi'an Xianyang aspect. Land use restrictions have been restricted to the Xi'an international metropolis development. But as extremes meet, which also spawned a new round of large-scale development of Xi'an real estate, and the flames of war in Qujiang region.

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