Enjoy the New Year
Everyone has dreamed of getting rich overnight, but there seems to be little easy path to achieve other than the windfall of winning the lottery or demolishing a house. Buying a lottery ticket may seem easy, but the probability of winning is like looking for a needle in a haystack, almost zero. In contrast, house demolition seems to be a more realistic path. As urbanization continues to accelerate, more and more houses are facing demolition, which means that more and more people have the opportunity to realize their dreams of becoming rich overnight.
The high-profile demolition of an urban village in Shenzhen has resulted in more than 1,000 residents becoming multimillionaires, and more than a dozen becoming billionaires. Imagine a fortune of 100 million, which is equivalent to winning a lottery jackpot of 10 million levels every day, and winning as many as 10 times in a row. What's more, the demolition allowed these families to realize their dream of "getting rich overnight", and the huge wealth changed the trajectory of their lives, allowing them to enter the ranks of the rich from then on. Because of this, many people are looking forward to the good news that their homes will be demolished, so that they can truly achieve "financial freedom" and even live a prosperous life with only monthly rent and interest instead of having to run for work.
As a result, eviction households are often seen as a lucky group of people because they have gained a lot of wealth through demolition and do not seem to have to work hard to make a living. However, this is not the case. Studies have shown that the happiness index of evicted households is often much lower than that of non-evicted households, especially in third- and fourth-tier cities.
Why is this happening? The reason is actually quite simple. For many people, suddenly gaining a large amount of wealth can make them feel uncomfortable or even lose themselves. Some people may choose to give up their jobs after receiving the demolition money and indulge in eating, drinking and having fun all day long; There are also people who may gradually lose themselves in wealth and develop bad habits, which will eventually cause harm to themselves and their families.
However, it should be noted that this is not a problem of the demolition itself, but the individual's choice and mentality. The demolition only provided them with an opportunity to acquire wealth, but how to use it was entirely up to them. Therefore, we should understand that wealth is not the only measure of happiness, and true happiness lies in inner peace and contentment.
In fact, demolition does not always lead to a sudden rich. Demolition and relocation can be divided into two main types: urban village demolition and shed renovation and demolition.
Demolition and relocation of urban villages usually involves large tracts of land and homesteads, so the amount of compensation is often higher. Many cases of demolition and relocation, resulting in such demolitions. However, another method of demolition and relocation, shantytown renovation, is mainly aimed at old houses in the city. Most of these houses are commercial houses, most of them are building structures, and each house occupies a relatively small land area. Therefore, in the event of a demolition, the amount of compensation is usually limited. In most cases, demolition can only compensate for one resettlement house, renovation costs and some resettlement costs. If you choose monetary compensation, the amount you receive is often only enough to buy a commercial house of the same size nearby, and sometimes you even need to pay an additional part of the cost yourself.
Because of this, not everyone is willing to participate in the demolition. Old city owners in many cities have reservations about demolition because they may not think the amount of compensation is enough to meet their needs.
In recent years, China's continuous demolition operations have caused most of the shantytowns and old houses with quality problems to be demolished. At present, many old residential areas are slightly dilapidated, but there are no substantial quality problems. If these old communities are also demolished, it will cause a lot of waste of social resources. At the same time, the monetization and resettlement policy of shantytown reform has caused a large amount of capital to pour into the property market, which has further promoted the development of housing prices, especially in the third and fourth-tier cities where shantytown reform projects account for a large proportion, and housing prices are particularly affected by shantytown reform and demolition. Since the implementation of the monetization and resettlement policy in 2015, housing prices in these cities have seen a significant increase. Therefore, in order to regulate housing prices and avoid the waste of social resources, the state has gradually reduced shantytown renovation and demolition projects since 2019. According to statistics, in 2018, the total number of shantytown reform projects started nationwide was 6.26 million units, while in 2019 it dropped to 3.16 million units, in 2020 it further decreased to 2.09 million units, and by 2022 it has decreased to 1.34 million units.
Obviously, with the advancement of urban renewal, large-scale shed renovation and demolition have gradually faded out of sight, and the renovation project of old residential areas has emerged. This shift marks a new chapter in the property market in third- and fourth-tier cities. After losing the impetus of shantytown reform, the trend of housing prices is weak, and the trend is obvious. However, the promotion of the renovation of old communities is quietly changing the pattern of the property market.
Despite this, the demolition has not completely withdrawn from the stage of history. For old houses with potential safety hazards, it is still necessary to demolish or rebuild them to ensure the safety of residents. These old houses located in the process of urbanization are not only a witness to history, but also a major problem of urban renewal. To address this challenge, a strategy has been developed for future homes that are more than 20 years old.
1. On the one hand, we will actively introduce real estate developers to demolish and relocate old houses with superior geographical locations but serious aging, and plan to build modern commercial houses. This not only solves the problem of aging old houses, but also promotes urban renewal and development. For homeowners, demolition compensation is an important opportunity to realize their dream of housing. However, with the decrease in the number of eligible old houses, the scarcity of demolition compensation is becoming increasingly prominent, which also means that old houses that are more than 20 years old are "popular" again.
2. On the other hand, it will focus on the old houses with a relatively young age and good building body, focus on the renovation of the old city, and comprehensively improve the public facilities, green environment and parking spaces in the community, so as to create a more livable environment for residents. Although the owner will not be able to receive compensation for the demolition, the quality of living and living experience will be greatly improved. This strategy aims to preserve the city's historical memory, while improving the quality of life of its residents and gradually renewing the city.
In fact, the core goal of both the old city renovation policy and the shantytown renovation policy is to optimize the living environment of residents. Over the years, significant progress has been made in the renovation and demolition of shantytowns, and most of the houses to be demolished have been renovated. However, if large-scale demolition work continues, it may not only push up housing prices, but also cause a huge waste of social resources. It is worth noting that although the shantytown rehabilitation policy has ended, this does not mean that the demolition work will stop completely. In the future, it is still possible to demolish some old houses to meet the needs of urban development.