Real Estate


Former Vice Chiarman of the Standing Committee of the National People's Congress, Cheng Siwei, said the recovery of real estate market needs more time, maybe walk into steady and healthy development after the second season of next year.

Cheng Siwei made a speech titled as "the current economic situation and the development of China's real estate industry" in Qinghua University, yesterday afternoon. He announced one survey result, "My Doctor students made a special survey in 2005 on Beijing, Shanghai and Fuzhou, the conclusions are similar. The consist of house price: construction and land fee is 50%, govenment tax is 20% and developers' profit is 30%. "

"In the 30% part, something the developer don't wanne go public, to be frank, is the fee used as bribe", Cheng Siwei said.

Cheng Siwei thought China will occurs serious economic and political crisis, but the most important problem for now is to handle the economic development and employment.

Cheng Siwei figured out that the real estate market needs time to recover, maybe it can realizes steady and healthy development after the second season of next year.

Cheng Siwei also admitted that will never happened easily.