The Ministry of Housing and Construction said it will continue to strictly implement differentiated housing credit, tax policies, and purchase restriction measures next year to resolutely curb speculative investment housing demand. According to a report published by Shenyin Wanguo, this attitude is in line with the bank's expectations, and further policies are expected to be introduced in the future. January will be an important policy window for the property market. According to the report, investors have no unanimous expectations about the specific policies that will be introduced, such as tightening the first home loan in first-tier cities and piloting the Chongqing model real estate tax in more cities, etc., but if the January policy continues to wait and see, then the housing market situation after the Spring Festival is conceivable. The bank proposed “reducing holdings” of China and Overseas (00688-HK), R&F (02777-HK), Hejing Taifu (01813-HK), Agile (3383-HK), and Hengsheng (00845-HK). China and overseas have the highest valuation in the sector, while the execution of the other four developers is weak, which means that if regulations are upgraded, their sales prospects will become even more uncertain. The first choice for Shenyin Wanguo's sector is still China Resources Land (01109-HK), Poly Real Estate (00119-HK), and Sunac (01918-HK), mainly due to its high sales visibility next year and attractive valuations.