New disk entered the market in October, property prices continued to rise
Although the first- and second-tier property market transactions in December have cooled down, with the intensive entry of some high-priced properties, the average transaction price of new homes is still on the rise.
According to a report released by the Yiju Real Estate Research Institute on the 29th, the average transaction price of newly built commercial housing in 100 cities monitored was 13,203 yuan per square meter, up 0.9% from the previous month and up 7.9% year-on-year. Property prices continued to rise.
Among the 100 cities, the city with the highest property price in October was Shanghai, and the average transaction price of new homes was 55,145 yuan per square meter. The prices of cities such as Shenzhen, Beijing and Xiamen are closely followed. Among the 100 cities, the lowest average transaction price is Jingmen, and the average transaction price is 4,863 yuan per square meter.
Property price bubble is decreasing
Yan Yuejin, research director of the think tank research center of Yiju Research Institute, pointed out that the rise in property prices in October was related to the slight loosening of pre-sale certificates and control, and some high-priced real estates were entering the market intensively, which in turn raised the average transaction price.
Yan Yuejin believes that in the fourth quarter of this year, housing companies will actively join the ranks of price reduction promotions. In particular, there are many new projects on the market, and the degree of competition in marketing will be more intense. Therefore, the housing enterprises will also adjust the pricing strategy, which will affect the average transaction price of the corresponding cities. Of course, from the side, the regulation effect of the real estate market is constantly appearing, and the situation of excessively high property prices is gradually being curbed. For buyers, the bubble of property prices is decreasing.
Intensive financing of domestic enterprises
In addition, a round of intensive financing of Chinese real estate companies at the end of the year is still continuing. According to statistics from the Central Plains Real Estate Research Center, since November, many real estate companies in China have been intensively approved to issue large amounts of financing. The total amount has exceeded 100 billion yuan. In the past two days alone, 12 housing companies have disclosed financing plans, with a cumulative scale of about 30 billion. yuan.
Housing companies have intensively issued financing plans, or the announcement plan has been approved. This aspect shows that the financing needs of housing enterprises have increased. Zhang Dawei, chief analyst of Zhongyuan Real Estate, pointed out that in the past few months, the sales of China’s first, second and third tier property markets have gradually slowed down, the collection cycle has slowed down, and some real estate enterprises have over-invested in the early stage, resulting in a significant increase in corporate capital demand. In addition, at the end of the year, many places accelerated land supply, and housing companies actively sought financing to obtain more land acquisition opportunities. At the same time, housing companies will meet the peak of debt repayment in the next two years, and some corporate debts will expire, and new debts will need to be borrowed. On the other hand, the intensive access to financing by housing companies has accelerated the approval of housing companies for debt issuance. However, industry insiders pointed out that the regulatory authorities still strictly control bank credit and trust funds to enter the real estate market in violation of regulations. The situation of “tight money” in housing enterprises has not improved fundamentally. Many small and medium-sized enterprises still have high financing costs.