China On The Verge Of Collapse As Homeowners Refuse To Pay Their Mortgages

China may well be about to take a tumble, as its economy reaches a boiling point that could see the country’s economy rival the Great Depression.

Chinese homebuyers are refusing to pay their mortgages, according to reports and this has sent the ruling Communist Chinese Party (CCP) into a tailspin as they attempt to divert a complete collapse.

According to other reports, Chinese real estate developers are also not paying back their debt, due to not being paid for debts that they own and according to a Zero Hedge report, this is “a sign that the loan boycott that started with homebuyers is starting to spread.”

Zero Hedge adds:

In a jarring case study of what happens when a ponzi scheme goes into reverse, hundreds of contractors to the property industry complained that they can no longer afford to pay their own bills because developers including China Evergrande Group still owe them money, Caixin reported, citing a statement it received from a supplier Tuesday.

Similar to homebuyers who have taken a stand and refuse to pay for properties that remain uncompleted, one group of small businesses and suppliers circulated a letter online saying they will stop repaying debts after Evergrande’s cash crisis left them out of pocket.

In a letter dated July 15, which was addressed to the developer’s Hubei office, the group said:

“We decided to stop paying all loans and arrears and advise our peers to decline any requests to be paid on credit or commercial bill,” said the group in the letter dated July 15, which was addressed to the developer’s Hubei office.

“Evergrande should be held responsible for any consequence that follows because of the chain reaction of the supply-chain crisis,” the letter continued, according to Zero Hedge.

The outlet went on to cite Bloomberg News which stated: “[T]he payments protest is the latest sign of how a movement by homebuyers to boycott mortgages on unfinished homes in China is spreading to affect other sectors in the economy.”

Zero Hedge further explains:

Yes it is, and it’s also why Beijing should be freaking out (if it isn’t), because what is taking place in China is far worse than what took place in March 2020 when the global credit machinery ground to a halt, only back then it’s because there was no other option, now it’s a voluntary development and not even fears of reprisals from China’s ruthless, authoritarian, Lebron-beloved dictatorship is stopping millions of people from calling for a systemic boycott, one which can topple China’s entire $60 trillion financial system in moments.

“The development underscores a dilemma for Xi Jinping’s government as it grapples with who to bail out as the country’s property crisis deepens: Relief for some borrowers could prompt threats of non-payment by a whole host of others,” Bloomberg News added. “While bending to demands for support could put a strain on state finances, ignoring them might lead to a spiral of defaults as more and more borrowers refuse to meet their obligations.”

China is the number two economy in the world, second under the United States and ahead of the number three economy, Japan. The collapse of China will likely have a devastating effect on the globe, we have come to rely far too heavily on the products produced by China.

Zero Hedge also added that the mortgage boycott has now spread to building suppliers – around 301 companies that are dotted in over 91 cities across China.


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7 thoughts on “China On The Verge Of Collapse As Homeowners Refuse To Pay Their Mortgages”

  1. Back to grass Huts & Hoche’s living in the jungle & off the land. Guerilla war fare will start. The gook city dwellers who are NOT accustomed to that life style will perish. This is what socialism, Marxism & Communism brings. The people in America should be taking note as to what the politicians in THEIR country are doing & getting away with.

  2. We better hope China doesn’t decide to cash in all of the US Treasury Bills they hold to cover their losses. I’m not sure of the impact that could have on our debt structure.

  3. This is all the Prelude to WWIII! Russia has already fired the shots of WWIII. China most likely will be firing the 2nd shots. South America/ Cuba/ Mexico will side with Russia and China. The World Economy is going to go to Trash and Chaos! If World Economies don’t settle down, expect WWII. When all else fails, the World Governments will go to War and act up; it is in our make up and World History.

  4. China has a population of a over billion people. The U.S. has a population of over 300,000,000. Look around the world – people are rising up. This is any governments worst fear. So many people refusing to comply – realizing that there is strength in numbers. Now ask yourself again – why are they so desperate to take away our guns? I think that they really screwed up with their COVID plandemic. The world is waking up to it and the world is pissed.

  5. “The most important reason for the decline of the Western Roman Empire was the political corruption. Although the decline in morals and values, unemployment, and military spending also contributed to the downfall of Rome, political corruption was the most important reason for the decline of the Western Roman Empire. When the political leaders in any society get lazy and set a poor example, the civilization will decline.”

    It may have more to do with greed and lust for power than being lazy with todays bunch though.

  6. Proverbs 3:5-7KJV “TRUST in the LORD w/all thine heart; and lean not unto thine own understanding. In all thy ways acknowledge him, and he will direct thy paths. Be not wise in thine own eyes: fear the LORD and depart from evil.” This is what it is coming to! TRUST in HIM or your will NOT make it today! This world is crumbling before our eyes and will soon collapse w/trouble unspeakable! The leaders today have NO idea what is going on or what to do! they are just about the money and power and greed of the same! The world is headed to a World War 3 and trouble unspeakable! Read the book of Revelation and also Nahum to Malachi! This is the end times prophecy!

  7. You can blame the usa and Canada for the world collapse.all world countries need to stop trading with the usa and Canada.once they do that them they will come to there senses.biden and trudeau need to be put in jail for treason.to they’re pll

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