According to the pre-epidemic China Urban Household Wealth Health Report, China’s household wealth has increased year by year and already ranks second in the world. However, the report finds that China’s housing assets account for 77.7% percent, the largest component of household wealth and much higher than the 34.6% in the United States.
A study about household wealth in China back in 2012 also found that land and housing assets accounted for over 80% of the country’s wealth component.
But housing prices in China have dropped significantly over the last year amid the property crisis. The trend raises concerns that the number of wealthy people will decrease due to property’s lower value. China’s household wealth also might get hit by the trend.
China’s property industry has been in a debt crisis after the Chinese regime cracked down on the sector last year, causing multiple defaults. Many China’s real estate developers have missed debt payments, including top giant Evergrande Group.
According to the Hurun Global Rich List, China has three cities in the top rich list, including Beijing with 144 billionaires, followed by Shanghai with 121 and Shenzhen with 113 billionaires, while New York came in fourth with 110 and London came in fifth with 101.
In the list, Shenzhen added eight billionaires compared to last year, surpassing New York.
But China’s billionaires in the list have also been hit hard as the Chinese regime over the last year launched a regulatory crackdown on such sectors as property, technology, education, and others, affecting billionaires in those industries.
160 Chinese billionaires have been removed from the list in the last year, more than any other country. China also has no billionaires in the top global ten.