“Housing Prices Never Fall”: The Development of Housing Finance in Taiwan

Yi-Ling Chen

Housing Policy Debate, 2020, vol. 30, issue 4, 623-639

Abstract: This article deals with the path-dependent features of financialization of housing in Taiwan, an East Asian developmental state. The levels of foreign capital and securitization in Taiwan’s housing market remain relatively low, meaning domestic capital, of which there is an abundance, is the major financial source of such speculation. The process does not include the retrenchment of the welfare state, because Taiwan has been a homeowner society. After financial liberalization in the 1980s, Taiwan’s state intervention in the housing and financial sectors has actually intensified via the enactment of more regulations to decrease the role of the informal financial and housing sectors. As a result of neoliberalization giving precedence to market mechanisms, various low-interest mortgage programs in the 1990s, all subsidized by public funding, have increased the rate of homeownership and sustained housing prices. Even though this varied the development of housing financialization, housing in Taiwan has largely become a tool of speculation, and housing affordability has become a serious problem.

Date: 2020
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/10511482.2020.1714691 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:houspd:v:30:y:2020:i:4:p:623-639

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RHPD20

DOI: 10.1080/10511482.2020.1714691

Access Statistics for this article

Housing Policy Debate is currently edited by Tom Sanchez, Susanne Viscarra and Derek Hyra

More articles in Housing Policy Debate from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().