Standard & Poor’s dim this year’s mainland property market, fear of housing prices 5%

Standard & Poor’s dim this year’s mainland property market, fear of housing prices 5%

The mainland property market is weakening, and mainland developers are about to meet the peak of debt repayment. The Chinese government has not yet rescued the market, and the industry outlook is not clear.

Ratings agency Standard & Poor’s believes that due to the decline in sales of home sales, the mainland property market will show a moderate downward trend this year. It is expected that the sales volume will fall by 3% to 7%, while the price will fall by up to 5%, and the overall building sales area will fall by 8%. 12%.

The bank said that the mainland housing sector is facing refinancing and liquidity risks, and the ratings of Sunshine 100 China (02608) and Zhongpan Holdings (00715) have been reduced.

Small and medium-sized developers have tight cash flow

The mainland property market is still maintaining the “stronger”. Standard & Poor’s believes that the domestic housing industry will continue to be integrated. It is expected that sales of large developers will continue to grow, but small and medium-sized developers are facing pressure from tight cash flow. It is expected that the mainland government may After the Lunar New Year or the two sessions, the housing control policy will be adjusted. It is estimated that except for the first- and second-tier cities, the property market regulation policies of other cities will be slightly relaxed.

The central government is rushing to buy food

Standard & Poor’s also pointed out that mainland retail, export and home sales have all declined, and the economic environment has shown signs of cooling. The Purchasing Managers’ Index (PMI) also reflects weak manufacturing performance, while domestic demand is declining and the external environment is uncertain. Under the circumstances, there is some pressure on the profitability of Mainland enterprises. It is estimated that the central government has increased its tolerance for economic slowdown. I believe that the current target of the Mainland is to stabilize the economy rather than accelerate economic growth. More fiscal policies and tax reduction measures will be introduced in the future. To stimulate consumption.