China has seen a considerable amount of development over recent years, so some investors may find it hard to pinpoint a location to secure a residential or commercial property.
The National Bureau of Statistics recorded a significant total of 7,741.2 billion yuan in real estate investment development over the first 10 months of 2013, and some areas proved more popular than others.
The 'Emerging Trends in Asia Pacific 2014' report from the Urban Land Institute and PricewaterhouseCoopers PLC highlighted top areas across Asia Pacific for investors to secure an investment property. Many locations in China were featured in the list, including the areas of Shanghai, Guangzhou and Beijing.
Shanghai
The report ranked Shanghai as the second most attractive area for real estate investment in the Asia Pacific region. Shanghai has always been a popular selection for the number two spot in the report and only decreased its rank once since 2007.
This city acts is a top area for investment because it offers "a level of comfort to newly arrived funds". As a result, this makes Shanghai a great place to invest for those who might be "unwilling to venture deeper into the unknown".
Shanghai also ranked number four in the Asia Pacific as a great place for real estate development during 2014.
Guangzhou
This major Chinese city ranked number six for investment and number five for development, showing it is strong for either markets.
The report speculated Guangzhou is catching up with growth experienced in the stronger markets of Beijing and Shanghai, where commercial real estate is priced much higher.
Residential real estate prices have increased dramatically since 2008, giving investors in this market an encouraging sign to secure a property here. The report stated prices have increased 20 per cent year-on-year during the third quarter of this year along, demonstrating the current strength in Guangzhou.
Beijing
Beijing was another major Chinese city listed in the most attractive areas for investment. For 2014, the city ranked at number eight, while sitting at number six for development.
The report stated that although there has been some plateauing in prices and rents of CBD office property, there seems to be "little prospect of significant declines". Over the three years to 2013, this sector experienced high growth, which may signal prices and rents have reached a peak for now.
For more information about investing in real estate in China, contact Ray White Group at www.raywhite.com.
