The mainland property market is in meltdown and the damage is spreading, not only to consumers but across the mainland's economy and, perhaps, internationally as well.
Since last year, Beijing has sought to burst what it saw as a dangerous bubble, which was pushing home prices beyond the reach of the middle class. It did so by initiating a series of tough measures to restrict bank lending and a crackdown on speculation.
As a result, sales have slumped by as much as 70 per cent, triggering a mainland-wide price war among major developers desperate to raise cash amid a credit crunch. Many are not expected to survive the shakeout.
With property developments stalled, many mainland and international suppliers of cement, steel, copper and other construction materials are starting to feel the pinch.
Meanwhile, falling property prices have pushed land values down, crippling the ability of local governments to raise money since land is a major source of their income.
Thousands of homebuyers who bought flats at peak prices have been hit by the downturn: some have gone bankrupt, while others are stuck with negative equity.
Negative equity arises when the housing loan exceeds the market value of the property.