The combination of
2024-10-18
Officials from five departments including the Ministry of Housing and Urban Rural Development of China explained in detail China's "stabilizing the real estate market" combination at a press conference held by the State Council Information Office on the 17th. This meeting conveys three major signals. The policy combination of "stabilizing the real estate market" mainly includes "three measures". Minister of Housing and Urban Rural Development Ni Hong clearly summarized the content of the real estate policy combination. He pointed out that combination boxing includes four cancellations, four reductions, and two additions. The four cancellations refer to the city government implementing tailored policies to adjust or cancel various restrictive measures on home purchases. This mainly includes the cancellation of purchase restrictions, sales restrictions, price limits, and the cancellation of standards for ordinary and non ordinary residential properties. Since the end of September, the four first tier cities of Beijing, Shanghai, Guangzhou, and Shenzhen, as well as core second tier cities such as Tianjin, Chengdu, and Hangzhou, have all introduced relevant policies to adjust and relax restrictive measures. The four reductions are to lower the interest rate of housing provident fund loans, lower the down payment ratio of housing loans, lower the interest rate of existing housing loans, and reduce the tax burden of "selling old and buying new" housing. By implementing these policies that have already been introduced, the cost of housing for residents can be reduced. On the same day, Tao Ling, Vice President of the People's Bank of China, said that it was expected that most of the outstanding housing loans would be adjusted in batches on October 25. Some small and medium-sized banks may complete the adjustment slightly later, but overall it is expected to be completed before October 31st. The two additions are the newly announced incremental policies. One is to implement the renovation of 1 million urban villages and dilapidated houses through monetary resettlement and other means. The Zhongzhi Research Institute stated that if calculated based on 100 square meters per unit, 1 million units of housing or creating a housing demand of about 100 million square meters would be beneficial for activating the market and digesting the stock of commercial housing. Secondly, by the end of the year, the credit scale of "whitelist" projects will be increased to 4 trillion yuan, doubling the current scale. Xiao Yuanqi, Deputy Director of the State Administration for Financial Regulation, explained that all qualified projects should be included in the "whitelist", all approved loans should be included, and fund disbursement should be made as early as possible. Multiple policies focus on improving the supply-demand relationship in the real estate market. In addition to policy adjustments aimed at short-term market activity (such as lifting restrictive policies), this press conference also involves multiple policies aimed at improving the supply-demand relationship in the real estate market in the medium to long term, including supporting local acquisitions of existing commercial housing and revitalizing idle land. Chen Wenjing, Director of Policy Research at the Zhongzhi Research Institute, stated that in the fourth quarter, the implementation of the "package" supporting policies for the real estate industry is expected to accelerate. On the one hand, existing policies are being implemented at an accelerated pace, such as the cancellation of non ordinary residential standards and the optimization of tax and fee linkage policies; Local state-owned enterprises' collection and storage of commercial housing are also expected to continue to overcome various obstacles, and the activation of existing land and more financial support may accelerate implementation. On the other hand, more incremental policies are expected to be accelerated, with core cities fully exerting their regulatory autonomy and continuing to optimize restrictive policies. More cities may adopt measures such as increasing housing subsidies and reducing transaction taxes to promote demand release. Li Yujia, Chief Researcher of the Housing Policy Research Center of Guangdong Provincial Urban Planning Institute, believes that the biggest highlight of this press conference is the combination of policies formed by multiple departments, which enhances the consistency of policy orientation. Taking the recovery of idle land through special bonds as an example, it requires the natural resources department to increase the recognition and disposal of idle land, reduce the cost of recovery, and also requires the finance department to strengthen the assessment of fund balance and strict control of local government implicit debt in the issuance of special bonds. According to official judgment, the Chinese real estate market has begun to bottom out. Ni Hong stated that the number of house visits and visits to many cities and projects has significantly increased, and sales have also increased to varying degrees. The main indicators of the real estate market have improved significantly. Especially in first tier cities, the real estate market has stabilized across the board since October. Market data also confirms this judgment. According to statistics from the CRIC Research Center, the subscription area of new housing projects in the 23 cities it focuses on monitoring during the National Day holiday increased by 77% month on month and 65% year-on-year. Among them, the four first tier cities of Beijing, Shanghai, Guangzhou, and Shenzhen increased by 102% year-on-year, and the second and third tier cities increased by 55% year-on-year. The transaction volume of second-hand houses has rebounded week by week. In the second week of October, the transaction volume of second-hand houses in 14 cities in China doubled on a month on month basis, and the transaction volume in Shenzhen and Hangzhou reached a new high for a single week this year. Ni Hong said that under the influence of a series of policies and after three years of adjustment, the Chinese real estate market has begun to bottom out. "We judge that the data for October will be a positive and optimistic result," he said, and expressed "confidence in the real estate market to stop falling and stabilize. (New Society)
Edit：Yao Jue Responsible editor：Xie Tunan
Source：CNS.cn
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