The purchase restriction policy was relaxed in many cities, and the deregulation cycle continued to rise. At present, the downward trend of industry fundamentals continues. In the first half of April, the sales area of high-frequency data decreased by 59.5% year-on-year, and the decline continues to decline. The new opening rate of key cities was 37.1%, down 5.6 percentage points month on month, still at a relatively low level. The de urbanization cycle of key cities rose to 31 months, rising month on month for six consecutive weeks. In the land market, the total transaction price of residential land in Baicheng decreased by 63.9% year-on-year, and the decline converged. This week, the restrictive real estate regulation and control policies in Suzhou, Nanjing and Shanghai Lingang Holdings Co.Ltd(600848) new area were relaxed. At present, the mortgage interest rates in key cities have been lowered, and the reduction of financial costs and thresholds combined with the relaxation of the four limits will effectively boost market confidence. At present, cities with insufficient demand and deregulation of real estate regulation have gradually risen from third and fourth tier cities to second tier provincial capitals, as well as the peripheral areas of first tier and new first tier cities. Stopping the decline and stabilizing in the second tier cities will be very important for the recovery of the whole market. At the same time, the liberalization of restrictive policies in the peripheral areas of the first tier cities will alleviate the financial pressure of the local government and reduce the de urbanization cycle. Under the framework of implementing policies for different cities, some cities have made adjustments for different districts and continuously refined the policy granularity. We believe that the policy coverage and relaxation are expected to continue to improve.
Report the first guaranteed rental REITs. On April 13, the Shenzhen talent housing group project has recently been reported to the national development and Reform Commission, becoming the first officially declared affordable rental housing REITs project in China. We believe that the successful issuance of affordable rental housing REITs can alleviate the pressure of insufficient structural supply in the rental market and better meet the rental demand of new citizens. At the same time, the subsequent expansion of REITs and the expansion of underlying asset categories will provide exit channels for real estate enterprises’ heavy asset projects, help real estate enterprises broaden financing channels, promote the transformation of the new development model in the era of real estate stock, and invest more resources in real estate operation and maintenance and service business.
At present, we prefer to recommend: Seazen Holdings Co.Ltd(601155) , Jinke Property Group Co.Ltd(000656) , Jiangsu Zhongnan Construction Group Co.Ltd(000961) , Xuhui holding group. Continuous recommendation: China Vanke Co.Ltd(000002) , Poly Developments And Holdings Group Co.Ltd(600048) , Gemdale Corporation(600383) , China Merchants Shekou Industrial Zone Holdings Co.Ltd(001979) , China overseas development. Property category: China Merchants Property Operation & Service Co.Ltd(001914) , country garden service, poly property, Xuhui Yongsheng service, xinchengyue service
