The secondary housing market in Beijing, which represents sales of previously owned properties, is almost nonexistent in today's market. Purefoy explains that with the steady supply of new villas and apartments in Beijing, buyers just are not interested in buying an older product that most likely will not match up to the improving standards of new dwellings. Purefoy says one of the biggest issues affecting buyers is quality. Even from one phase to another within the same villa project, quality can vary widely. In recent years, many developers would start building with the financing in place for only a portion of a project, and rely on early sales to finance completion.
Property management is another major issue.
Purefoy says to be on the lookout for local developers without a lot of experience who are managing their own property. Without qualified, quality property management many tenants are disappointed by the level of service provided after they have bought or leased within a project. Although the Beijing real estate market is highly competitive, it is not well regulated. Realtors in Beijing are not required to have any special license or training. Inherent in this situation is the risk that realtors may operate either incompetently or unscrupulously.