The new policy for the Beijing property market was announced yesterday, and the down payment ratio for the first home in Beijing has been reduced to 20%, and the commercial loan interest rate has been reduced to 3.5% after adjustment.

After the announcement of the policy this time, the '517' new policy has been implemented in the four first-tier cities of Beijing, Shanghai, Guangzhou, and Shenzhen, and the 'destocking' action has been launched with full force.

Zhang Dawei, chief analyst of Zhongyuan Real Estate, said that overall, the policy is very strong from the central government to local governments, from Beijing to Shanghai. The determination to stabilize the real estate market has been fully demonstrated in this round of new policies that began on May 17th. In the future, as long as the real estate market has not stabilized, more policies will definitely be issued, and on the basis of an increase in various places, the national level will comprehensively promote policy relaxation, with determination exceeding expectations.

Beijing's timely and expected easing policies, such as reducing the down payment and interest rate of the first home, have released the waiting demand for policy follow-up, and with stronger demand support, there is greater elasticity in the fundamentals of Beijing. If expectations can be improved, it will also lead other cities.

According to CITIC Securities research report, another small wave of real estate policies is expected to be announced in the near future, and regional and structural recovery of the market is possible from core cities like Shanghai and Beijing.

The asset impairment threat faced by development companies will be alleviated, and the normal operating order of residential service companies can also be guaranteed.

There is still a wide range of policy space in various regions in terms of price limits, household registration, interest rates, and fiscal subsidies.

The implementation of interest rate and down payment reductions in Beijing will help other areas to further emancipate their minds, introduce policies, and enhance residents' confidence in the sustainability of policies, actively releasing the demand for self-occupied housing.

Real estate-related industry chain companies:

China Overseas Development (00688), C&D International Group (01908), Yuexiu Property (00123), Greentown China (03900), Sunac (01918), Longfor Group (00960), Sino-Ocean Group (03377), China Vanke (02202), China Resources Land (01109), etc.

Property management companies: China Resources Mixc (01209), Poly Property Services (06049), Midea Real Estate (03990), etc.

Real estate intermediaries: Ke Holdings (02423), CG Services (06098)