Many housing companies will promote sales as the most important work point at the moment.
Editor’s note: This article is from Economic Observer Online , Author: Xie Minmin , authorized to reprint
“First, the sales area of second-hand housing has been declining continuously for the past three months. The land sales area has been declining continuously for the past three months. After the three major indicators have continued to decline, the real estate industry has indeed brought considerable pressure. I believe that For a long time, sales will be the top priority for real estate companies,” said Ding Zuyu, CEO of Yiju Enterprise Group.
Kelly’s latest monthly market report also pointed out that the property market is accelerating in July, and the market wait-and-see mood is getting stronger. The demand for subsequent home purchases is obviously not good. Some cities have already had demand breaks: “The land market is in July. Falling, housing financing tightening is like a bottom-up, and the impact on the land market is also ‘fatal’.”
The far-reaching impact comes from the policy level. On July 30, the Central Political Bureau meeting reaffirmed that “the house does not live” and first proposed “not using real estate as a means of stimulating the economy in the short term”.
Tian Ming, Chairman of Landsea Group, told reporters that this is a significant change. “On the one hand, the central government realizes that using real estate as a means of stimulating economic growth has its drawbacks. This is a cognitive improvement; On the one hand, I think it is very important that we may not be able to promote economic growth through the stimulation of real estate as before.
The most direct manifestation of the market’s turning cold is to slow down. Under this circumstance, many real estate enterprises have restarted or increased the intensity of national marketing and accelerated their deconstruction. Some housing companies have increased their efforts in discount sales. Evergrande launched a linkage strategy in 74 projects in 21 cities in Guangdong, with a 78% discount. “The real estate industry is welcoming the real test. Whoever sells quickly can live for a long time,” said a top20 housing marketing manager.
Sales decline
For the overall market level, May was an inflection point. After the short “Xiaoyangchun” in the first half of the year, the market began to show a downward trend in May. The decline in sales data and land sales data over the past three months confirms this.
The rate of demolition of housing projects is also falling. According to the data of Yihan think tank, the comprehensive de-chemical rate of the industry in the first half of this year was about 60-65%, but there was some fine-tuning in June, and it continued to fall.
In July, the data was also not optimistic. According to data from Yihan think tank, the top ten real estate developers reported sales of 954.1 billion in July, down 24% from June.
Whether it is a second-tier or a third- and fourth-tier cities, there is a downward trend. According to data from Kerry, the volume of first-tier cities in July fell by the whole line, and the volume of transactions in second- and third-tier cities fell by 11% from the previous month.