China News Agency, Beijing, June 3 (Reporter Pang Wuji) In May, China's multi-home property market data showed signs of stabilizing and rebounding, and the frequency of real estate support policies was also significantly reduced.
According to the statistics of the Central Plains Real Estate Research Center, in May, real estate-related policies across China were issued 35 times, most of which were preferential housing purchase policies and provident fund policies for talents. The frequency of supporting policies was significantly reduced. From January to April, real estate-related policies were issued 238 times in all regions, with an average of nearly 60 times per month. In the first 5 months, the number of policies related to real estate increased by 33% compared with the same period in 2019.
Yang Kan, principal researcher of real estate at the Ping An Securities Institute, also noted this situation. He pointed out that since the outbreak of the epidemic, various regions have issued a series of supporting policies on the supply side to delay the payment of land transfer fees and reduce the pre-sale conditions. However, the demand-side policies related to “restrictions on purchases and loans” have been withdrawn. He pointed out that the frequency of recent real estate support policies has dropped significantly. On the whole, the policy tone is still strict, especially in the short-term recovery of the property market and prefecture market, and there is limited room for policy marginal improvement.
Zhang Dawei, chief analyst of Centaline Real Estate, pointed out that in the face of the epidemic, most countries in the world have chosen to "release water to save the market." A series of real estate-related policies that “save enterprises” have also been issued across China, but demand-side policies such as down payment reduction have basically been halted, and policies that loosen restrictions on purchases have mostly been withdrawn. At present, more than 12 cities have been quickly withdrawn after the introduction of regulatory policies. The main tone of regulation has not been significantly loosened.
The stabilization of the property market in many places is an important reason for the decrease in the frequency of supporting policies.
According to the statistics of the Central Index Research Institute, in May, the transaction scale of commercial housing in key cities continued to improve, and the first month of this year turned positive this year, an increase of about 20%.
The Shell Institute’s monthly market report in May also shows that the second-hand housing market in 18 key cities is close to the highest level in March last year. In the new house market, although the new house market in key cities continued to decline year-on-year, the decline rate was relative to the previous month. Due to the narrowing, and at the same time, due to the large number of high-quality land plots, the floor price of land transactions in some first-tier cities has increased by a large quarter, and the market still has some upside. (Finish)