I live in an eastern suburb of Beijing that until recently was known for being chaotic and noisy as it hosted a large rural market and was home to many migrant laborers.

But since last year, amid housing construction and the demolition of shabby homes, it has become one of the most expensive areas on the city fringe, with a new, top-line flat with three bedrooms selling for 10 million yuan ($1.54 million).

Resale prices have also surged in tandem with the latest housing boom in Beijing, Shanghai and Shenzhen that saw home prices rise 20 to 30 percent since the Chinese Lunar New Year. In my neighborhood, three-bedroom apartments now cost 6-8 million yuan, or about eight to 10 times more than what they cost when the estate was launched eight years ago.