On February 6th, SuZhou's real estate long-term mechanism pilot work leadership group released a notice implementing 16 new real estate measures with immediate effect. According to the latest policy, housing qualifications will no longer be audited throughout SuZhou. As core first and second-tier cities gradually implement various measures, it is expected that the policy of digesting the stock of unsold commercial properties that have been built, collected and stored by local state-owned enterprises will quickly land, which will also play an active role in improving the cash flow of real estate companies and resolving industry risks.
On February 6th, the leading group for the trial of long-term mechanism for real estate in Suzhou issued a notice implementing 16 new measures in the housing market. According to the latest policy, purchasing qualification will no longer be examined throughout SuZhou. Meanwhile, the policy offers personal income tax refund for home exchange; and provides deed tax subsidies for purchasing new commodity housing, offering 50% deed tax subsidy, as well as different levels of deed tax subsidies for purchasing new homes after selling old ones.
"After Hangzhou and Xi'an completely lifted purchase restrictions and released a clear bullish signal to the market. Under the 'destocking' directive from the Political Bureau meeting on April 30th, lifting purchase restrictions is the general trend. It is expected that more cities will follow suit and completely release purchase restrictions." said Guan Rongxue, senior analyst of Zhuge Data Research Center. Analysts from China Index Academy pointed out that as core first and second-tier cities gradually implement various measures, the market is expected to enter the period of policy fulfillment next. However, the pace of market recovery still depends on the transformation of residents' income expectations. At the same time, if the policy of digesting the stock of unsold commercial properties that have been built, collected and stored by local state-owned enterprises can land quickly, it will also play an active role in improving the cash flow of real estate companies and resolving industry risks.
According to the Financial Data Center, among related listed companies:
SuZhou New District Hi-Tech Industrial's real estate group has three core businesses: residential and commercial development, urban service agency construction, and industrial new town operation. With a total sales performance of 147,600 square meters, the company ranked third on the list of total sales area of commercial residential buildings for all SuZhou city area real estate companies from January to May.
Poly Developments and Holdings Group is a real estate listed company controlled by the large central enterprise China Poly Group Corporation. It has maintained its position as the top central enterprise in the real estate industry for 15 consecutive years and has formed a business layout with real estate investment and development as its mainstay, comprehensive services and real estate finance as its wings.