China - Housing 06 (Nov 21 - Dec 26)

[winston]

China’s rush to prop up housing sector aims to boost confidence ahead of third plenum: analysts

Coordinated steps from Beijing include billions of yuan in central bank funding, eased mortgage rules, and government purchase of unsold inventory

Measures show desire ‘to put a floor under the property slump’ before third plenum, but focus certain to be on industrial policy, observer says

by Jane Cai and Laura Zhou

Source: SCMP

https://www.scmp.com/news/china/politic ... e=homepage

[winston]

Chinese Vice-Premier He Lifeng calls on cities to buy back residential land, unsold homes to aid distressed developers

‘Local governments should recover or purchase the idle stockpile of residential lands properly according to the situation,’ He Lifeng said on Friday

Local governments can also purchase unsold homes to serve as affordable housing backup, he said
China property

by Yulu Ao & Yuke Xie

Source: SCMP

https://www.scmp.com/business/china-bus ... pe=section

[winston]

China property: Beijing’s stimulus plan needs more time, money and policy support to resolve long-standing housing crisis

China has US$3.9 trillion worth of unsold properties, which makes Beijing’s funding plan account for less than 2 per cent of that excess inventory

There is also a big question mark on how local governments, saddled with US$5.7 trillion in debt, would be able to absorb the unsold properties

by Aileen Chuang & Daniel Ren

Source: SCMP

https://www.scmp.com/business/china-bus ... pe=section

[behappyalways]

China's real estate investment fell at faster pace in Jan - Apr, down 9.8%, residential property investment down 10.5%
https://x.com/ChinaBeigeBook/status/1791459601591791765

[winston]

Chinese developers' shares wobble as support measures disappoint

China unveiled measures on Friday to facilitate 1 trillion yuan (US$138 billion) in extra funding and ease mortgage rules, with local governments set to buy "some" apartments.

As part of those steps, the central bank said it would set up a 300-billion-yuan (US$41.49 billion) relending facility for state-owned enterprises (SOEs) to purchase completed and unsold homes at "reasonable prices" for affordable housing.

The central bank expects the relending programme would result in 500-billion-yuan worth of bank financing.

Macquarie economists say Beijing's previous statements suggested 18 months of inventory clearing may be the government's policy goal, versus the current timeframe of 28 months to clear the stock. Achieving the policy goal will cost an estimated 2 trillion yuan.

Source: Reuters

https://www.thestandard.com.hk/breaking ... disappoint

[behappyalways]

"From a year earlier, new-home prices fell 3.51% in April, steeper than March’s 2.7% drop, the statistics bureau said.

Existing-home prices dropped 6.79%.

Both were record declines since the bureau began the current method of collecting data in 2011."

https://x.com/shehzadhqazi/status/1791517536254579045

[behappyalways]

300 billion to buy inventory and reduce down payment.
Lu's "combination punch" boosts the housing market. Is it effective?
3千億買庫存.降頭期款 陸「組合拳」振房市.成效?｜方念華｜FOCUS全球新聞 20240521 @tvbsfocus
https://m.youtube.com/watch?v=mPjXP8rn-8Q


There’s less to China’s housing bailout than meets the eye
https://www.atlanticcouncil.org/blogs/e ... s-the-eye/

[winston]

China property: ‘underwhelming’ stimulus to fall short of refloating market amid sunken buyer confidence, analysts say

Latest government measures are merely ‘a drop in the ocean’, economist says

‘Rebuilding homebuyers’ confidence in the presale system is the precondition for a revival of the housing market,’ says Nomura analyst

by Yulu Ao

Source: SCMP

https://www.scmp.com/business/china-bus ... pe=section

[behappyalways]

China’s bailout will definitely succeed!
'24.05.21【豐富│東南西北龍鳳配】Pt.2 中國救市一定成功！
https://m.youtube.com/watch?v=03upj_2f1QE


Too many China watchers don't understand the difference bt a solution & a stopgap.
https://x.com/ChinaBeigeBook/status/1794769824973021644

[behappyalways]

"Intensified" housing rescue. The first shot is fired in Shanghai! Lowering the threshold for buying houses in other places. Guangzhou and Shenzhen follow up

加碼」救房.上海開首槍! 降外地購房門檻.廣深跟進｜方念華｜FOCUS全球新聞 20240529 @tvbsfocus

https://m.youtube.com/watch?v=y_OxGLQ1Pec