In recent years, there have been frequent incidents of unfinished buildings by real estate developers, which have aroused widespread attention and heated discussions. At the same time, some home buyers are unable to repay their mortgages on time for various reasons and face the risk of discontinuity. Why can real estate developers rot, but ordinary people can't cut off supply? This is an issue worth exploring in depth.
Let's be clear: there is a difference between property developers and home buyers. Real estate developers are professional real estate enterprises, with professional teams and rich experience, they are engaged in real estate development and sales, which is an important part of the entire real estate market. The buyers are ordinary people, who are engaged in buying houses for their own occupation or investment, and are consumers of the real estate market.
So why can real estate developers rot?
In fact, there are many reasons why real estate developers are rotten. First of all, real estate developers need a lot of capital to develop real estate projects, and they usually obtain funds through bank loans, equity financing, etc. If the developer's capital chain is broken, it may lead to the project not being able to continue, resulting in a rotten building.
Secondly, the uncertainty and risk of the real estate market is also one of the reasons for developers' failure. Sometimes, developers predict market conditions and ROI at the beginning of the project, but due to the uncertainty and changes in the market, the project cannot be completed on time, and eventually the building is not finished. Finally, the insufficient management and operation capabilities of some developers are also one of the reasons for the unfinished buildings. Some developers do not have enough experience and management capabilities to deal with the complex real estate market, resulting in project failure.
So why can't ordinary people cut off supplies?
In fact, home buyers cut off supply will bring great risks and consequences. First, a supply cut can damage a buyer's credit history, affecting their future credit rating and ability to borrow. Second, a supply cut will put buyers at risk of being chased by the bank, and may even cause buyers to lose their home ownership. Finally, supply cuts can also have a negative impact on the real estate market, leading to turbulence and instability in the real estate market.
Therefore, we can conclude that real estate developers can rot, but ordinary people cannot cut off supply. For real estate developers, they should strengthen risk management, improve operating capabilities, and ensure the smooth completion of projects to protect the interests of home buyers and maintain the stability of the real estate market. For home buyers, they should strengthen financial management, treat house buying behavior rationally, and try to avoid the occurrence of supply interruption, so as not to adversely affect their credit history and future borrowing ability.