Ning JiZhe even supported the real estate, and the three major changes in the high-level view

Less than a month later, Ning Jizhe, deputy director of the National Development and Reform Commission and director of the National Bureau of Statistics, twice expressed his opinions and views on the real estate market, took a positive attitude towards the effect of the long-term real estate mechanism, and was optimistic about the real estate market in 2022, continuously releasing optimistic and stable signals. Why did Director Ning continue to "support the property market" and show favor to the real estate industry?

There are two reasons for this:

1. China's real estate market and the industrial chain and ecosystem driven and driven by it have reached a time when confidence is urgently needed. At present, China's economy has reached a moment when "confidence is more valuable than gold". This metaphor for consumer confidence was coined by Premier Wen after the 2008 world financial crisis.

2. The central high-level has a rational judgment on the real estate market and real estate demand, and the previous view that "speculation accounts for the mainstream and real demand is a tributary" has changed substantially.

At the "Press Conference on the Operation of the National Economy in 2021" of the Information Office of the State Council yesterday (2022.01.17), Ning Jizhe said, "With the continuous improvement of the long-term real estate mechanism and the continuous emergence of the effect of urban policy, the mainland real estate market is expected to maintain an overall stable operation in 2022." Immediately after, he expressed his view that China is still in the stage of continuous urbanization. Demand for improved housing is expected to be released with financial support in 2022.

Just less than a month ago (2021.12.21), Ning Jizhe told Xinhua News Agency that "cautiously introduce policies with a contraction effect, pay attention to the rhythm, intensity and focus of policies, stimulate vitality, and increase motivation", and revealed that the relevant departments will "study the needs of the market, enterprises and consumers in advance, and reserve a number of policies to boost market confidence, consumer confidence and enterprise confidence in advance." ”

My interpretation:

1. The top level affirms the basic supporting role of urbanization in China's economic growth; the ongoing urbanization needs the real estate industry.

At the end of 2021, the urban permanent population increased by 12.05 million compared with the end of 2020. Farmers need housing when they go to the cities; the floating population is 385 million, an increase of 8.85 million over the end of the previous year, and the floating population is a floating population across a relatively large area, which also brings new housing demand.

2. The top management realizes that the normal housing demand is more than previously predicted, and it has not been fully met, and has not received financial support and housing purchase policy support;

3. The top management realizes that the demand for improved housing is a legitimate demand, not a need for speculation and speculation.

The author believes that financial policies and housing purchase policies that support the normal housing needs and improvement needs of residents will soon be introduced, which will benefit the real estate industry, related industries and consumer markets.