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About: Mortgage slave     Goto   Sponge   NotDistinct   Permalink

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Mortgage slave (Chinese: 房奴; pinyin: fángnú) is a term used for homeowners in China who spend more than 70% of their disposable income towards repaying mortgage loans. Continually rising real estate prices and high incentives for home ownership have encouraged restrictive loans to those wishing to own a residence, but lacking the required wealth. The resulting loans have had a deteriorative effect on the indebted, who are left with little money to invest or otherwise improve their financial position and standard of living.