外文翻译金融危机对房地产的影响.docx

1、外文翻译金融危机对房地产的影响The Effect of Financial Crisis to Real EstateThe sub-loan crisis is also called as the subprime mortgage crisis and translated as the subprime lending crisis. It refers to a financial storm that occurred in the United States due to the bankruptcy of the sub-mortgage agencies, the forc

2、ed closing of the investment funds, and the severe turbulence of the stock market. It led to the crisis in lack of liquidity at the worlds major financial markets. The U.S. Sub-Loan Crisis began to emerge from the spring of 2006. From August of 2007, it started to sweep through the United States, th

3、e European Union, Japan, and other major financial markets in the world.Sub-loan means subprime mortgage loan. “Sub” means the poor side corresponding to “high” and “excellent”, while in the sub-loan crisis it refers to the low credit and low debt-repaying capacity. Subprime mortgage loan is a high-

4、risk and high-yield industry, which refers to the loans offered by a number of lending institutions to the borrowers with poor credit and low income. Comparing to the traditional standard mortgage loans, the subprime mortgage loans demand low levels on the borrowers credit history and repaying abili

5、ty, but its corresponding lending rate is much higher than the normal mortgage loans. Those who are refused on high-grade mortgage loans by the bank for their bad credit history or weak repaying ability may apply for the subprime mortgage loans to buy houses. When the house price is going up, the su

6、bprime mortgage loans business is booming. Even if the borrowers cash flow can not repay the loan, they may obtain re-loans from the value-added real estate to fill the gap. However, when the house price maintains or goes down, there will be a funding gap and then the bad debts.The subprime mortgage

7、 loan is a kind of housing mortgages abroad, to supply loans to the people with less income or lower-level credit history. The reason for supplying loans to these people is that the lending institutions can receive a mortgage interest higher than the good credit mortgage. When the house prices rise,

8、 the loans will have no problems as a result of adequate value in pledge; but when the house prices fall, value in pledge is no longer sufficient, while the mortgager has less income, thus the loan contract may be breached and the house may be returned to the bank. It will cause the increase in the

9、bad debts of the mortgager, the collapsed cases of the mortgage providers and the risks in the financial markets.The added value of real estate industry accounts for more than 5% of the gross domestic product (GDP) in our country. As a pillar industry, it has played an important role in the national

10、 economy.Yu Xiuqin, the spokeswoman of Beijing Municipal Bureau of Statistics said on October 14, 2004, that Beijings GDP in the first quarter increased 13% over the same period of the previous year. The released Real Estate Investment Report by the Fixed Assets Investment Division of Beijing Munici

11、pal Development and Reform Commission on October 15 indicated that the investment growth rate in the first three quarters reduced to 20.3% from 40.6% in the first quarter, ranking in a more reasonable range. But the Report also pointed out that the great dropping in the real estate investment leadin

12、g indicators (land development, etc.)” undoubtedly affected the potential growth of investment in real estate. The delayed impact from macro-control measures shall be paid attentions to. This Report obviously reminded that the development and investment in real estate may maintain the downward trend

13、 due to the impact of macro-control, and it may further have a certain impact on Beijings economic growthWhat impact can macro-control bring on Beijings GDP? Ding Xiangyang, Director of Beijing Municipal Development and Reform Commission, said when he reported to Beijing Peoples Congress Standing Co

14、mmittee on the implementation of national economic and social development plan during the first half year, that a series of land policies in Beijing such as the moratorium on agricultural land requisition, the ceasing of agreed land transfer, and the clean-up of investment projects in development zo

15、nes, as well as the macro-control, had probably effected an investment of about RMB 120 billion yuan, with about 2-3 percentage points on affecting the annual economic growth in the next few years. The Report of the Fixed Assets Investment Division finally showed that from the investment in recent y

16、ears, the proportion of real estate investment had always been maintained at above 55%, which did not match the direction of industrial restructuring on developing high-tech industries and modern manufacturing sectors. In order to maintain the consecutive and stable economic growth of the city and o

17、ptimize the industrial structure, it is necessary to intensify the investment structure adjustment and increase the proportion of industrial investment, especially under the circumstances that the potentials in the real estate industry are affectedWe can see such a logic relationship: the real estat

18、e investment maintains a high proportion in recent years, while the macro-control reduces the real estate investment growth rate, which will annually decrease several percentage points of Beijings GDP in the next few years. Real estate has an extraordinary impact on Beijings economy. The proportion

19、of real estate investment is too large? According to the planning of National Development and Reform Commission, Beijing City has cleaned up the fixed assets projects in the city. From the information of Beijing Municipal Development and Reform Commission, there are more than 6000 projects being cle

20、aned up, in which more than 600 projects involved in violations. Among them, there are 53 projects being stopped the construction or cancelled and 554 projects being suspended the construction for rectification, with a total investment amount of RMB 164 billion yuan, accounting for 1/5 of the total

21、number in our country. From the project clean-up situation, there is still more than 50% of investment concentrated in the real estate field among all the citys investment projects being constructed or planned for construction. Figures show that the real estate investment in Beijing accounts for 56.

22、5% of the total investment in the entire society, far exceeding the national average level of 18%. The Report of the Fixed Assets Investment Division of Beijing Municipal Development and Reform Commission suggests that the proportion of real estate investment is too large, and this does not match th

23、e direction of industrial restructuring on developing high-tech industries and modern manufacturing sectors.However, Ren Zhiqiang, President of Huayuan Group who researches much on the economic indexes said, Beijing originally has a lot of lands for use, but the Capital has not implemented construct

24、ions for a long time, and now the construction develops after conquering great difficulties, a higher proportion of real estate investment is normal. Professor Ye Jianping, Head of the Land Management Division of Renmin University of China, considered that demands for housing and the supply in Beiji

25、ng in recent years had promoted the proportion growth of investment, although this proportion of 56.5% was much higher than the international average level. However, it is very difficult to evaluate whether it is right or not at special stages in a specific period. Nevertheless, there must be proble

26、ms if such proportion maintains in a long period. Someone in the Fixed Assets Investment Division of Beijing Municipal Development and Reform Commission said that a higher proportion in real estate investment has certain rationality at the present stage on accelerating urban transformation, urbaniza

27、tion and economic growth. And now all aspects of the real estate industry are still within the safety line in general. A large number of bubble phenomenon such as housing vacancy or price skyrocketing have not occurred. But he also pointed out at the same time that it was very easy to emerge bubbles

28、 as the real estate industry was greatly affected by the policy. Therefore Beijing, as a large-sized city, if the proportion of real estate investment is too large, the citys whole economy will accordingly become more vulnerable.Who is the largest contributor to GDP? The official data from Beijing M

29、unicipal Development and Reform Commission show that the direct pulling role of real estate on Beijings GDP is between 5% and 10%. Experts believe that the direct contribution of the real estate industry to GDP completely results from the demand growth in the real estate market. It is reported that

30、the volume of demolition in Beijing reduces at the annual rate of 20% for 5 consecutive years. There were about 100,000 removing households in Beijing 5 years ago, but in 2004 there were only 20,000. In the past a considerable portion of the demand in Beijing real estate market consists of urban ren

31、ewal, infrastructure construction as well as a large number of demolitions invested by the government. Now although the government demolitions decline a lot, the consumption amount has not reduced, thus the real estate market remains a strong demand. With this demand, the relatively high proportion

32、of real estate in GDP is quite normal, because Beijings real estate is not for Beijing City only, but for the whole country and even the world. In addition to the pulling role of the strong demands in real estate market on Beijings GDP, it is well known that the real estate industry drives its upstr

33、eam and downstream industries. Someone in Beijing Municipal Development and Reform Commission disclosed: According to the sales estimation, the proportion of real estate and the relevant industries such as its driven raw materials and service industry is about 1:1.2. Real estate investment can drive a dozen of or a hundred of related i