Shanghai, once one of the world’s hottest housing markets, has suffered a near stop in home sales, inducing developers to slash prices and realtors to close shop by the thousands, the Los Angeles Times reported. Recent homebuyers were suing and banks faced a surge in non-performing loans. The city’s 20 million people made up less than 2% of China’s 1.3 billion population, Morgan Stanley Chief Asia Economist in Hong Kong Andy Xie said, but Shanghai accounted for 20% of the country’s property value.
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