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Sign up with Google Sign up with FacebookQ: Who owns the land now?
During Mao's time, the landowners were driven off their land, beaten, or killed. Who owns the land now? Are there some people who have been able to reclaim rights to their land?
The government actually owns all of the land.
RandomGuy:
This is the right answer. Local governments own and manage the land in their jurisdiction.
The government actually owns all of the land.
RandomGuy:
This is the right answer. Local governments own and manage the land in their jurisdiction.
I mean who receives all the free apartments in compensation when the developers bought up all the land? Is there any way for people who were driven off their land to get some compensation?
ambivalentmace:
I don't understand all of this, but some things I have figured out in 8 years here.
You are compensated by local government established protocol with local exceptions for corruption where they kill you and take it anyway. If you build a second floor even incomplete, you get paid more, so many villages right outside cities that hope to cash in will 3 stories of concrete above the house with no windows, just the shell, hoping for a payoff soon.
If a developer takes your apartment, usually you get the square meters of your old apartment deducted from the new apartments to be built and you pay the difference at the market rate for the extra space you get in the new one.
The government fees can represent 30 percent of the local governments revenue so the incentive for building and home sales is high.
The purchase of the land rights is seperate and a seperate reciept from the actual concrete box you purchase. The land rights is a 70 year lease, probably because you don't care about your own people after your dead and concrete basically has about a 70 to 80 year life span anyway.
China giving land rights is a quasi instant equity to every Chinese citizen was a away to create instant wealth and growth so it skews economic charts when comparing to other western nations. Buying land accumulating wealth and equity has been done over centuries in other countries while in China this started in 1992 and spread over the provinces and instantly people had value in property that before meant nothing to them.
This vast printing of money was allowed based on putting value all of sudden on property that had no stated value before and lots of money was made because un skilled peasants making 30k rmb a year, if they actually got paid and did not have to commit suicide to get others paid, were building the houses that instantly were worth a lot more by demand and population. A new high rise with a total sales value of 5 billion rmb, great, print 5 billion new money, etc.
The greed factor, materialistic buying has been slower here because despite government and business debt, consumer debt was tightly controlled, jail for 60 days late on a credit card, so people are keeping equity and value rather than borrowing and going broke like they do in the west or the government covering it up by offering 50 year mortgages like they do in Europe.
I don't know how long this system will remain here, robots will have to build the houses in the future and migrant foreign workers for what ever the robots can't do because everyone wants the white collar jobs like Japan and the craftsmen that can build are dying off. They want to change demographics with more children and one day all this concrete they built so quickly in a short period will all need replacing in a short time period with no workers.
All residential property in China is built on land that is owned by the government and leased out for 30 years. So even if you own part of a building, you don't own the land it's on. I am not aware what is going to happen when all the leases run out.
Private ownership didn't go large scale until 80ies or possibly ealry 90ies. The majority of leases are still in play, we own an apartment that is from 85. So probably the lease is up, and it's rumored that the land will be redeveloped = no more apartment there but new apartment elsewhere. But just rumors.
Scandinavian:
yes, you're right. Did it use to be 30 ??? wonder where my brain has that from. But it remains a shaky rumor that our building is likely to go soon.... it's crap from the 80ies so might just be the build quality thats a play