Mini Program: Daily Real Estate Industry News Summary.
Approximately 1.4 trillion yuan of financing has been approved to provide accurate support for the 'white list' projects in the real estate industry.
The State Council Information Office held a series of press conferences on 'promoting high-quality development' on August 21. The China Banking and Insurance Regulatory Commission released the latest statistics, showing that commercial banks have approved 5,392 'white list' projects in the real estate industry, with approved financing amounting to nearly 1.4 trillion yuan. Liao Yuanyuan, Director of the Statistics and Risk Monitoring Department of the China Banking and Insurance Regulatory Commission, introduced that the urban real estate financing coordination mechanism takes cities as the main focus and projects as the center. The timely financial support for 'white list' projects has played a positive role in promoting project completion and delivery, protecting the legitimate rights and interests of homebuyers, and stabilizing the real estate market. It has achieved interim results in accurately supporting real estate project financing.
Approximately 60 cities have expressed support for 'acquisition and storage' of commercial housing, and the related work pace is expected to accelerate further.
'Acquisition and storage' of existing commercial housing for use as affordable housing has become an important lever to promote the stable and healthy development of the real estate market. Currently, more and more cities are joining the 'acquisition and storage' ranks. Chen Wenjing, Director of Market Research at the China Index Academy, said that according to statistics from the China Index Academy, about 60 cities currently support state-owned enterprises in purchasing existing commercial housing for affordable housing, and more than 25 cities have issued solicitations for public proposals. In addition, the 'acquisition and storage' work in some cities has entered the project implementation stage. Experts believe that in the future, 'acquisition and storage' will be carried out on a larger scale, and as various measures are implemented, it will play a greater role in promoting the stable and healthy development of the real estate market.
The phenomenon of local state-owned asset platforms selling properties in Guangzhou is becoming more frequent. In mid-July, a batch of properties was listed on the Guangzhou Property Rights Trading Platform, totaling 55 units, with a total transfer price of approximately 0.142 billion yuan. These properties are located in Polihongyue Garden, Hongyue Beida Street, Nancun Town, Panyu District, Guangzhou, and are owned by the Panyu District People's Government State-owned Assets Supervision and Administration Bureau. They were repurchased properties. According to the contact person in the transaction agency, the properties were successfully sold on August 19. In fact, this batch of properties was not listed for the first time. On February 18 of this year, when these properties were first listed, the total price was about 0.22 billion yuan, with a total price per unit of about 3.67 million to 4.82 million yuan, and an equivalent unit price of about 0.038 million to 0.041 million yuan/square meter. This second listing reduced the total price by more than 70 million yuan, equivalent to a 35% discount, and the average price dropped to less than 0.026 million yuan/square meter.
The phenomenon of local state-owned asset platforms selling properties in Guangzhou is becoming more frequent. In mid-July, a batch of properties was listed on the Guangzhou Property Rights Trading Platform, totaling 55 units, with a total transfer price of approximately 0.142 billion yuan. These properties are located in Polihongyue Garden, Hongyue Beida Street, Nancun Town, Panyu District, Guangzhou, and are owned by the Panyu District People's Government State-owned Assets Supervision and Administration Bureau. They were repurchased properties. According to the contact person in the transaction agency, the properties were successfully sold on August 19. In fact, this batch of properties was not listed for the first time. On February 18 of this year, when these properties were first listed, the total price was about 0.22 billion yuan, with a total price per unit of about 3.67 million to 4.82 million yuan, and an equivalent unit price of about 0.038 million to 0.041 million yuan/square meter. This second listing reduced the total price by more than 70 million yuan, equivalent to a 35% discount, and the average price dropped to less than 0.026 million yuan/square meter.
The Housing and Construction Bureau of Shenzhen City responds to the issue of property rights of affordable housing in Shenzhen being held for 10 years.
A Shenzhen resident posted on the People's Daily message board, stating that they have been living in affordable housing for over 10 years and hope the government will soon introduce a policy for transitioning affordable housing to property ownership. In response, the Shenzhen Housing and Construction Bureau stated that the department is currently advancing the related policy in accordance with legal procedures. (Securities Times)
5. Wuhan's first acquisition of existing commercial housing for use as indemnificatory apartments
The 'Hubei Construction' official WeChat account reported that on August 16, the first project in Wuhan to use refinancing for the acquisition of existing commercial housing for use as indemnificatory apartments was officially launched. Wuhan Anjia Indemnificatory Housing Co., Ltd. signed contracts for the Zhaoshang Yuyue and Konggang Center Phase III projects, with an acquisition area of over 0.02 million square meters. After renovation, it will provide more than 500 sets of indemnificatory rental housing for the entire city.
6. Buying a house qualifies for permanent residence! Behind the new real estate policy in Xiamen, the transaction volume of new houses has dropped by nearly 50% year-on-year
Recently, Xiamen issued a notice regarding the adjustment of real estate permanent residence policies. The new policy aims to stimulate real estate transactions and attract population inflow through the residence permit policy for homebuyers. The implementation of this policy also signifies a new step in real estate regulation for Xiamen, a separately planned city, sub-provincial city, and Tier 1 city. The 'buying a house qualifies for permanent residence' policy is expected to bring benefits to the real estate market. According to the China Real Estate News, the transaction area of new residential buildings in Xiamen from January to July this year was 0.71 million square meters, a decrease of 46% year-on-year. Public data also shows that the inventory of new homes in Xiamen has reached 2.74 million square meters, with a turnover period of 23.4 months, far exceeding the reasonable level of 6 to 12 months. Those who have been paying close attention to the Xiamen real estate market pointed out that even if there is no new land supply now, the existing inventory of houses is enough to be sold for the next two years. From the current actual sales situation in the Xiamen real estate market, the increase in significant price adjustments for new houses is becoming more common, gradually spreading from outside the island to the island, making it more difficult to find potential customers. There is also a frequent emergence of 'unsold inventory' in the second-hand housing market, with some property prices hitting new lows and further pressuring landlords.
7. Has a large number of houses in Shanghai entered the 'middle-aged and elderly' stage? Mayor Gong Zheng: Planning to launch the housing pension system citywide next year
The 15th plenary session of the 16th Shanghai People's Congress was held at the World Expo Center in the afternoon of the 20th. Gong Zheng, Deputy Secretary of the Municipal Party Committee and Mayor, reported on the overall economic and social development of the city in the first half of 2024 and the overall consideration of the work in the second half, on behalf of the municipal government. Gong Zheng stated that by the end of last year, the total area of existing urban housing in the city exceeded 0.76 billion square meters, and a large number of houses have begun to enter the 'middle-aged and elderly' stage. Therefore, Shanghai will explore the implementation of three systems. First is the regular physical examination system for houses, which mainly involves regular comprehensive inspections of houses to timely identify any problems and address safety hazards. The second is the house safety insurance system, which plays a role as a financial safeguard when houses face significant risks and require a large amount of funds. The third is the housing pension system, which mainly serves for house inspections, house insurance, and minor repairs and payment. 'We plan to proceed in two steps: first, carry out pilot projects in Pudong and other districts this year; second, expand citywide next year based on the pilot projects,' Gong Zheng said. (The Paper)
8. Shanghai issues its first 'housing voucher,' and resettled households are very excited: can be used to compensate for the purchase of high-quality commercial housing, and there are subsidies
Recently, Mr. Li (pseudonym), a mass relocating due to the collective land relocation in Hengpu Village, Jinshanwei Town, said that this No. 001 housing ticket allows him to choose high-quality commodity residences more flexibly and independently based on his family situation, economic conditions, and personal needs. This is also the first housing ticket issued and used in Shanghai since the implementation of the Measures for Implementation of Housing Ticket Placement in Jinshan District. (Shanghai Observer)
Has the requirement of "the online signing price shall not be lower than 90% of the record price" been adjusted? Jiangxi's new policy on "industry offsetting for housing" has attracted attention in many places.
"The notice has been withdrawn. The content related to 'industry offsetting for housing' will be improved and adjusted accordingly. It will be announced recently on the official website of Poyang County. Please refer to the latest policy." A staff member of the Poyang County Housing and Urban-Rural Development Bureau in Shangrao City, Jiangxi Province, said. On August 19th, the housing construction guarantee center of Poyang County released the notice "Several Measures to Promote the High-quality Development of the Real Estate Market in Poyang County" via official WeChat account. It is worth noting that the measures propose to prudently dispose of "industry offsetting for housing" and "foreclosed houses", strengthen price control over "industry offsetting for housing", and calculate the signing and filing prices based on no less than 90% of the "one house, one price" filed with the county's development and reform commission. However, when reporters contacted the staff of the Poyang County Housing and Urban-Rural Development Bureau regarding the price requirements for "industry offsetting for housing", the aforementioned staff member stated that the requirement of "not lower than 90% of the record price" mentioned in the measures has been withdrawn, and the next step will be to optimize and adjust. (China Real Estate News)
The first allocation-type affordable housing project in Xiaoshan, Hangzhou has started construction, and is expected to be completed by the end of 2027.
On August 21st, the first allocation-type affordable housing project in Xiaoshan, Hangzhou - XSCQ1104-R2-08 plot of land in Xiaoshan Economic Development Zone officially started construction. It is expected to be completed by the end of 2027 and will provide affordable housing for urban households facing housing difficulties and various introduced talent groups after completion. (Guandian News)
The China Banking and Insurance Regulatory Commission announced that commercial banks have issued 3.1 trillion yuan in new personal housing loans from January to July this year.
Liao Yuanyuan, Director of the Statistics and Risk Monitoring Department of the China Banking and Insurance Regulatory Commission, said at a press conference that since the beginning of this year, the China Banking and Insurance Regulatory Commission has continuously guided financial institutions to provide real estate financing services through multiple channels and made good use of various policy measures including the urban coordination mechanism. Banks have maintained a steady and increasing trend in financing the real estate industry. As of now, the balance of real estate development loans has increased by over 400 billion yuan since the beginning of the year, and the balance of operational property loans has increased by 19% year-on-year, while the balance of acquisition loans has increased by 21% year-on-year. From January to July this year, commercial banks have issued 3.1 trillion yuan of new personal housing loans, effectively supporting the rigid and improvement housing demand of residents.
The first batch of property "trade-in" and commodity housing group purchase home appliance consumption vouchers has been issued in Zhengzhou.
The reporter learned from the Zhengzhou Housing Guarantee Bureau that in order to better serve the people and encourage more participation in group buying of commercial properties and the "sell old and buy new, exchange old for new" activity, the government's favorable policies will be implemented. Recently, the Zhengzhou Housing Guarantee Bureau, together with the Zhengzhou Commerce Bureau and the Municipal Finance Bureau, has targeted and distributed home appliance consumption vouchers to more than 200 home buyers according to the Implementation Plan for the Distribution of Home Appliance Consumption Vouchers for the "Sell Old and Buy New, Exchange Old for New" and Group Buying of Commercial Properties in Zhengzhou in 2024. (Dahe Cailifang)
13. China Banking and Insurance Regulatory Commission: Guiding financial institutions to continue providing real estate financial services, supporting the stable and healthy development of the real estate market.
Liao Yuanyuan, Director of the Statistics and Risk Monitoring Department of the China Banking and Insurance Regulatory Commission, introduced that in the next step, the China Banking and Insurance Regulatory Commission will resolutely implement the decision-making arrangements of the Party Central Committee and the State Council on real estate work, and work together with relevant departments to further consolidate the responsibilities of local governments, real estate companies, and financial institutions. We will better play the role of urban coordination mechanism, guide financial institutions to continue providing real estate financial services, and support the stable and healthy development of the real estate market.
14. Mortgage applications for home purchases in the United States have fallen to their lowest level since February.
An indicator measuring the US mortgage application fell to its lowest level since February last week, indicating that rising house prices are impeding the demand recovery brought by the decline in mortgage rates. As of the week ending August 16, the Mortgage Bankers Association (MBA) mortgage application index in the US fell by 5.2% to 130.6. Refinancing applications also declined after soaring to a two-year high the previous week. MBA data on Wednesday showed that the contract interest rate for 30-year fixed-rate mortgages fell by another 4 basis points to 6.5%, still the lowest level since May last year. The interest rate for 15-year fixed-rate mortgages rose, and the average interest rate for 5-year adjustable-rate mortgages saw its largest increase since the beginning of the year. Despite the prospect of the Federal Reserve's easing monetary policy, making mortgage rates more favorable, high house prices have pushed housing affordability to levels not seen in decades.