(Economic Observation) Clearing the blockage of second-hand housing transactions

  China News Agency, Beijing, September 27th, to clear the blockage of second-hand housing transactions, more than ten places in China test the water "transfer with mortgage"

  China News Agency reporter Pang Wuji

  In addition to lowering the threshold for buying a house, in view of the long time and high cost of second-hand housing transactions, many places in China have recently come up with new strategies to clear the "blocking points" of transactions and smooth the circulation.

  Second-hand housing "transfer with mortgage" is one of the key policies.

At the beginning of September, Shenzhen Pingshan Notary Office revealed that the agency had completed the first second-hand housing transaction service of "notarization deposit + foreclosure property transfer with mortgage".

Recently, according to local media reports, the Guangzhou Branch of the People's Bank of China issued a notice to all central sub-branches and banking institutions within its jurisdiction on matters related to encouraging the promotion of the "transfer with mortgage" model of second-hand housing.

Hainan Province also recently issued a document stating that it is exploring the pilot program of "transferring with mortgage" registration for second-hand houses that have not been mortgaged by housing provident fund loans.

  In addition, Nanjing, Kunming, Jinan, Suzhou, Zhuhai and other places also reported the news of testing the "transfer with mortgage" model of second-hand housing.

According to the statistics of Centaline Real Estate Research Center, there have been more than 10 places that have announced or implemented "transfer with mortgage".

  What is second-hand housing "transfer with mortgage"?

  It is a change from the "first redemption and then transfer" model commonly used in second-hand housing transactions.

The second-hand house transaction transfer process under the traditional model is cumbersome. If the house being traded still has a mortgage loan that has not been repaid, the seller needs to repay the bank loan first by borrowing or advancing the buyer, and release the mortgage before the house can be repaid. Trade to new buyers.

  Zhang Dawei, chief analyst of Centaline Property, pointed out that this traditional process will invisibly drive up transaction costs and time, especially in places with higher housing prices.

Many owners of second-hand houses want to change houses, but do not have enough funds to release the mortgage on their own, so the buyer often pays the purchase price in advance or uses the "bridge loan" provided by agencies such as intermediaries, which generally increases the transaction cycle by 1-2 Increase the transaction cost of the loan portion by 1%-3%.

  However, "transfer with mortgage" does not need to repay the loan in advance, nor does it need to advance funds.

The seller does not need to redeem the building in advance, and the buyer does not need to pay the house price first to release the mortgage, so the risk is greatly reduced.

Li Yujia, chief researcher of the Housing Policy Research Center of the Guangdong Provincial Urban Planning Institute, believes that the direct benefit of this policy is that the cost of redemption guarantees is exempted.

Moreover, the transaction links are opened up, which reduces the cost of credit information investigation and shortens the transaction cycle, which is conducive to the circulation of second-hand housing transactions.

  More importantly, Li Yujia said that "transfer with mortgage" can also speed up the rhythm of "serial order" transactions.

A second-hand house transaction may be connected to the transaction of 3-4 suites.

In the past, due to the cumbersome block in the above process, one house could not be traded, which affected the transactions of other houses, resulting in the inability to realize the buying and selling demand.

And this kind of "remortgage" actually injects a strong credit endorsement into the transaction, smoothes the transaction process, and promotes the circulation of houses and a virtuous circle.

  In addition to "transfer with mortgage", Beijing has also recently piloted the parallel processing of "serial order" business for stock housing transactions in the field of second-hand housing transactions.

This is also a measure to reduce transaction costs and promote circulation.

  Zhang Dawei explained that in Beijing's property market transactions, many of them are house replacements, and "serial single" transactions account for more than 40%, and some second-hand housing transactions even have "5-chain" and "6-chain" transactions.

In the past, the transaction cycle of chain orders was very long, and the possibility of encountering various disputes was also very high. Once there was a problem in the front link, the rear chain was all interrupted.

The parallel processing of the "serial order" business proposed by Beijing this time can greatly shorten the transaction cycle and save transaction costs.

  When the second-hand housing market is active, the transaction heat will also be transmitted to the new housing market, thus forming a virtuous circle.

According to the statistics of Zhuge Housing Data Research Center, in September (as of the 25th), the number of new house transactions in China's key 8 cities (Beijing, Shenzhen, Dongguan, Suzhou, Nanjing, Qingdao, Hangzhou, Foshan) increased by 16.1% month-on-month and decreased by 7.3% year-on-year.

The performance of the second-hand housing market was weaker than that of new houses. The number of second-hand housing transactions in key 8 cities fell by 15.1% month-on-month.

  Wang Xiaoqiang, chief analyst of Zhuge Housing Data Research Center, believes that this year's "Golden Nine" property market transactions are better than expected.

The current property market is still recovering from the bottom. After the month-on-month sales of new houses in key 8 cities turned positive from August, they continued to rise in September, slightly down from the same period last year.

If there are no unexpected events in the market, it is expected that the transaction of new houses in October will turn positive year-on-year, and the property market in the fourth quarter is expected to become the peak of the property market transaction this year.

The second-hand housing market, driven by policies such as "transfer with mortgage", has room for growth.