Why Americans are willing to move, but Chinese want to buy a house

Chinese people like to own their own homes, but Americans like to move. Statistics show that about 17% of people in the United States move every year, and 60% of them move in place. , the rest are moved to other places, so why do Americans like to move?

Americans are a nation that likes to move. Perhaps this is related to the fact that the ancestors of Americans moved from foreign countries. At least they do not have a deep-rooted love for their hometown like the Chinese.

There are many reasons why Americans move. Some people change their jobs, some want to improve their living conditions, some want to save money, some want to take care of their loved ones, etc. But the main reason was job changes. The immigrants who first came to the United States from Europe first established themselves on the Atlantic coast of the northeastern United States. Later, as the population increased, the need for new resources, and the economic strength increased, the population and capital gradually moved to the west. The result is that the population center of gravity of the United States has been moving westward at a rate of 4 to 10 kilometers per year for about 200 years, and this westward movement rate reached its peak again in the early 1980s. This is in contrast to the continuous movement of my country's population, capital, and technological power toward the eastern coast. In addition to changes in the geographical distribution of employment, the rise and fall of industries also causes people to change their jobs. Service industries (including transportation, public utilities, commerce, government departments, finance and insurance) have expanded rapidly, while manufacturing (light and heavy industries) has shrunk relatively. The former has increased by 32 million people in the past 20 years, accounting for 60% of the number 20 years ago, while the latter has only increased by about 1 million, accounting for only 5%. Only when labor employment changes can changes in the economic structure be realized. Whether it is due to the emergence of new technologies (such as electronic computers), the depletion of old resources (such as oil in the United States), or competition in the international market, such as the shift from export to import of cars in the United States, it means changes in people's employment. Flexibility in choosing a career makes the U.S. economy adaptable, and all of this is often accompanied by relocation of residence. There are more than 1,700 daily newspapers in the United States, mostly local newspapers, and one of the main areas of advertising in these newspapers is employment and housing. And the two ads are related to each other.

Wherever the economy is prosperous, there are more recruitment advertisements and more people move in from other places, so the demand for housing is also relatively active. The southern United States has developed rapidly this year, and the increase in employment has brought a large number of local immigrants to the United States. For example, Atlanta, where 100,000 U.S. residents immigrate to Atlanta, Georgia, every year. In recent years, the Northeast has experienced a more severe economic recession than the entire country. Real estate prices have plummeted, and businessmen who previously purchased real estate have suffered huge losses.

There are no restrictions on moving in the United States. There is no household registration system. You don’t need anyone’s approval to move, and you don’t even need to report to the police. Moving is also very convenient. There are specialized moving companies, some specializing in moving in the city, and some operating relocation to other places. When moving, people almost 100% use cars as moving tools, and people can use specialized moving cars. But the furniture is generally not moved, and is mostly sold on the spot. After moving, repurchase according to the size, color and style of the room.

The main reason why moving is convenient is because of the housing market. For the Chinese, the term "housing market" has become unfamiliar, just like Americans don't understand our "house exchange conference." After 1949, our country quickly restricted or even eliminated the private rental business. To obtain housing, the only way to obtain housing was through unit allocation. There are two basic differences between home-sale conferences and the housing market. First of all, to change a house, you must find a replacement partner. With the "House Exchange Conference", it is more convenient than before, but it is still very difficult. With the help of a room exchange coordinator or even a computer, it is possible to find the possibility of a triangular room exchange or a multilateral room exchange. But it is too difficult to make the comprehensive conditions of the various parties exactly equal in terms of the location, area, equipment, orientation, floors, environment, etc. of the housing. In the housing market, differences in rent can be used to compensate for differences in conditions, so all parties can have a wider range of choices. Second, under housing market conditions, supply and demand are always balanced through the rise and fall of rent levels. In other words, in the United States, you may only feel that rent is expensive. You will not be unable to rent a house to live in, so even if you don't have a house to trade with others, you can still rent a house to live in. my country began housing reform in 1988 and introduced market mechanisms. But it's starting to get big. The main method of housing reform is to increase rents. However, the proportion of rents in the total expenditure of urban residents has dropped from 1.0% to 0.7%. ① Of course, there is debate over whether housing should be allocated entirely through the market like in the United States. Both theory and experience prove that market allocation can avoid waste, but the problem of housing for the poor is more difficult to solve. American Fusheng Real Estate is a local real estate brokerage company in the greater Los Angeles area and Orange County. For house buying and selling, commercial real estate, land investment, please contact us.

Since it always takes more than a year to build a new house (including supporting facilities), it cannot keep up with the changes in population flow, and the changes in supply cannot keep up with the changes in demand. Therefore, the rents rise and fall greatly, and the real estate industry has become a viable option. A big business to make money from speculation. But don’t think that this kind of speculation is bad for society, and don’t think that it’s easy for real estate developers to make money.

Its contribution to society is to adjust the demand for real estate in space and time; and real estate developers will invest in greening, roads and the environment to improve land use. If it were easy to make money, everyone would go into real estate business, but this is not the case. When real estate developers estimate that the local economy is about to prosper, they purchase properties in advance, causing prices to rise and stimulating the construction of new housing. But if the estimate is wrong, you will lose money.

Housing costs account for about 1/4 of Americans' total expenditures, although this is only an average. Renting a studio with a kitchen and bathroom in central New York costs around $1,000 a month, but a mid-range home with two bedrooms and a living room in a smaller city costs just $300 a month. The rent is determined through negotiation between the family and the landlord. If the negotiation fails, both parties can find another job until they are satisfied.

If you buy a house, will you tie someone to death? No. When he wants to move, he can sell the house. If this is an installment payment and the debt has not been paid off, he can sell the house and the debt relationship together. However, the selling price will be somewhat different from the original house price. He can also profit if local property prices rise, otherwise he will lose money. Here we can see that in a commercially developed society, not only goods can be bought and sold, but debt relationships can also be bought and sold. In fact, this is one aspect of the capital market. Flexible market arrangements provide individuals with a wide range of choices and create a flexible and dynamic economy. For the economy to develop, to rationalize the use of resources, and to eliminate all possible wastes, this can only be achieved by individuals making optimal choices among various choices.

We can see from the incident of Americans moving that the market provides such an opportunity.