First of all, high housing prices inhibit the rigid demand and improving demand of most ordinary workers.
Second, high housing prices have seriously affected the expansion of domestic demand in China. Expanding domestic demand is an important measure to realize the transformation of economic development mode in China. However, due to the high housing prices in China, many people save money to buy a house first and then pay for it. This kind of consumption concept will affect people's consumption behavior, thus inhibiting the expansion of domestic demand in China. Moreover, high housing prices have increased the economic pressure of buyers who want to live, trapped the consumption power of two generations, weakened the purchasing power of other consumer goods, compressed the market space of other industries, and hindered the coordinated development of the national economy and industrial system.
Third, high housing prices lead to abnormal industrial structure in China. In recent years, China has intensified its scientific and technological innovation and realized the transformation of its economic mode. However, due to high housing prices, the growth of real estate industry still drives the development of steel, cement and other industries, which is very unfavorable to the adjustment of China's industrial structure. However, high housing prices lead to rising labor costs, increasing commercial costs, and commercial retail and service industry operations are in trouble.
Fourth, farmers can't bear the economic cost of becoming citizens, which hinders the process of urbanization.
Fifth, high housing prices force the outflow of high-end scientific and technological talents; It leads to excessive profits of real estate developers and weakens industrial innovation ability.
Sixth, high housing prices promote the concentration of social wealth to a few people and aggravate the unfair distribution of wealth.
The sustainable development of a country's economy depends on its people's constant consumption demand and purchasing power. They work hard to earn money, then spend money, enjoy services and enjoy life, and then the remaining people invest and form positive feedback.
But most of China's money was kidnapped by the house.