It is difficult to stabilize the market by relying on demand-side stimulus alone, and the key is supply-side reform, which is the key to bringing fresh blood to the market.
Zhongfang Daily reporter Miao Ye reported from Beijing
New news is constantly coming out of the urban real estate financing coordination mechanism.
From April 13th to 14th, He Lifeng, member of the Political Bureau of the CPC Central Committee and Vice Premier of the State Council, investigated real estate work in Zhengzhou City, Henan Province and presided over a symposium.
He Lifeng emphasized that it is necessary to accelerate the implementation of the urban real estate financing coordination mechanism and actively provide financial support to the compliant real estate projects that meet the requirements of the "white list", so as to ensure that the project is completed and delivered on time, effectively protect the legitimate rights and interests of buyers, stabilize expectations, and promote the stable and healthy development of the real estate market.
Since its deployment in January this year, the real estate financing coordination mechanism has been rapidly implemented across the country.
According to the Ministry of Housing and Urban-Rural Development, at present, 31 provinces and the Xinjiang Production and Construction Corps have established a provincial-level real estate financing coordination mechanism, and all cities at and above the prefecture level (excluding municipalities directly under the central government) have established an urban real estate financing coordination mechanism, and put forward a "white list" of real estate projects that can give financing support in batches and push it to commercial banks. As of March 31, 1,979 projects have received a total of 469.03 billion yuan of bank credit and 1,247 projects have received 155.41 billion yuan of loans.
The reporter of China Real Estate News learned from the progress of the "white list" announced by various places and the feedback of real estate enterprises that the real estate "white list" covers a wide range and pushes quickly, but the number of projects that have been loaned by banks is less than the number of "white list" submitted by the housing and construction department, and there are relatively few projects that have passed the bank's review, and there is a certain gap between the amount of funds that have been released and the financing demand.
"It is expected that for projects that really need funds to ensure the delivery of buildings, the government and banks will appropriately relax the access requirements, so that this part of the project can be guaranteed to be delivered, thereby promoting the healthy development of the real estate market. An insider of a real estate company in East China said that the policy needs to be strengthened in terms of restoring confidence in the market environment and alleviating the bottleneck of capital turnover.
I can go all in
This time, He Lifeng focused on inspecting a number of real estate projects under construction in Jinshui District and Huiji District of Zhengzhou City, which are also the concentrated areas of Zhengzhou's "guaranteed delivery building" project. According to CCTV's official video, CIFI's Yijiang Yunzhu project is one of the research projects.
He pointed out that the relationship between supply and demand in the mainland's real estate market has undergone major changes, and it is necessary to speed up the construction of a new model of real estate development, do a good job in the construction of the "three major projects" of affordable housing, the transformation of urban villages, and the "dual-use" public infrastructure, pay close attention to solving the blockages in the implementation of the urban real estate financing coordination mechanism, strengthen the supervision of projects under construction, ensure project financing, and ensure the quality of construction and on-time delivery;
Judging from the latest progress of the "white list" disclosed in Guangdong, Fujian, Hebei, Henan, Hubei and other places, as of the end of March, 177 projects in Guangdong Province have received bank credit of 52.4 billion yuan, 83 projects have received loans of 11.9 billion yuan, and private real estate enterprises and mixed-ownership real estate enterprises accounted for 86.5% and 86.9% of the credit lines and financing obtained respectively. The Fujian Supervision Bureau disclosed that the first batch of 61 projects on the "white list" in the jurisdiction have all landed, with an actual financing demand of 14 billion yuan, and the project landing rate and credit approval rate have reached 100%, of which 8 billion yuan has been granted credit for 39 private real estate projects. 14 cities and prefectures in Hubei Province have pushed the first batch of 85 real estate "white list" projects to commercial banks, with a financing demand of 22.674 billion yuan, 85 projects have all completed the review, with a landing rate of 100%, and 64 projects have issued new loans of 11.998 billion yuan. In the first batch of "white list" projects, 51 belong to private enterprises and mixed-ownership real estate projects, accounting for 60%. As of March 31, a total of 215 projects in Henan Province have passed the credit approval, and the credit approval amount has reached 45.053 billion yuan.
Since the beginning of the year, in response to the establishment of the real estate financing coordination mechanism, the regulator has "spoken" several times, and various banks have also collectively refreshed the "progress bar", intensively disclosed the approval and loan issuance of "white list" projects, and nearly 12,000 projects have been docked by 14 banks. A number of real estate companies such as Country Garden, Sunac, Greenland, CIFI, Zhongnan, Shimao, Aoyuan, Jinke, and Zhongliang have also announced the real estate projects shortlisted for the "white list", and have expressed that the funds obtained will fully support the financing and construction delivery of projects under construction.
Li Yujia, chief researcher of the Housing Policy Research Center of the Guangdong Provincial Academy of Urban and Rural Planning, believes that the "white list" system is a good medicine for the current "guaranteed delivery of buildings and risk prevention" Third, it protects the creditor's rights of financial institutions, boosts the enthusiasm of loans, stabilizes the "accelerator" effect of real estate finance, and avoids credit crunch caused by continuous capital outflow; fourth, it establishes a long-term mechanism for real estate management, and local governments should manage real estate in accordance with the "white list" model; fifth, it is necessary to stabilize the upstream and downstream of the industry, stabilize the industrial chain, and drive steady growth.
Chen Jie, director of the Housing and Urban-Rural Development Research Center of Shanghai Jiao Tong University, believes that after this survey, the "white list" should be accelerated. The "white list" mechanism not only increases the likelihood that the projects under construction of real estate enterprises will be completed on schedule, but also enhances the confidence of home buyers in these projects, promotes the sales and rapid payment collection of real estate enterprises, thereby alleviating the cash flow pressure of real estate enterprises. "These two points are interacting and relying on each other, and the premise of accelerating the implementation of the 'white list' is to do a good job in capital supervision and construction progress supervision, and make every effort to avoid the 'white list' project from being unfinished or delayed in delivery. Chen Jie said.
We look forward to the financing landing as soon as possible
In the past three months, the real estate "white list" has been advancing at an unimaginable speed, in order to achieve "precise irrigation" of single real estate projects, but whether these funds "living water" quickly flow to different types of real estate enterprises, and whether the actual amount of funds in place can quench the thirst of real estate enterprises, this is the focus of the market.
At the monthly group management meeting held by Country Garden on April 7, President Mo Bin emphasized that we must seize the opportunity, do a good job seriously, and strive for more projects to enter the "white list". Country Garden has included more than 200 projects in the real estate "white list".
As of April 15, CIFI has 68 projects on the "white list" across the country, most of which have begun to meet financing needs, and 15 projects have received "white list" financing support by adjusting repayment nodes, reducing interest rates, and replacing existing financing. On March 28, Sunac China announced that more than 120 projects had entered the "white list" of the financing coordination mechanism.
A Fujian real estate insider said that the "white list" in the mechanism is to isolate the risk of the project and the enterprise, the vice premier He Lifeng's research proposed "should be loaned", "can go into the fullest" and "do not meet the conditions of the project, come up with a targeted plan" proposed, for the liquidity of enterprises in distress, undoubtedly to ensure the delivery of work to provide a strong guarantee, but also further boosted the confidence of home buyers.
"For the enterprise itself, the group's public debt default is currently the biggest problem encountered in the process of project financing, and banks generally have doubts, so they mainly promote the normal construction of the project through general contracting advances, work to housing and other means. An insider of an insurance real estate company said that the company has a number of projects included in the "white list", but the actual landing situation varies from city to city and from project to project, and the overall progress time is two months at the earliest, and it may take 3~5 months to slow it.
Through this inspection, He Lifeng emphasized that for the projects included in the "white list", financial institutions should optimize the loan approval and issuance process, speed up the speed of lending, and support the completion of project construction. For projects that do not meet the requirements of the "white list" for the time being, we should pay close attention to coming up with targeted solutions. For development loans and pre-sale housing funds, it is necessary to optimize account management and fund supervision, ensure closed operation, and strictly prevent misappropriation in violation of regulations.
After the "three arrows" were launched, there were high hopes for the coordination mechanism for urban real estate financing, but the industry generally believes that the independent decision-making power of banks is the real key threshold.
Judging from the feedback from many real estate companies, the progress of the "white list" financing of most real estate projects is relatively slow. "This is the 'root of the old disease', after all, financial institutions are the priority of risk factors, and a lot of financing is still on the way to trial. A person related to a Zhejiang real estate company said.
The above-mentioned insider of a Fujian real estate company mentioned that from the current situation, there are few projects for enterprises to obtain financing, and it is hoped that the new financing of the projects that have been shortlisted for the "white list" can be implemented as soon as possible. The key lies in financial institutions, which are more concerned about whether the collateral is sufficient, but in the past two years of in-depth adjustment of the industry, enterprises have actually used enough collateral in the process of self-rescue, so the policy still needs to be optimized.
"This is also understandable, financial institutions are only a part of the real estate industry, to restore the confidence of all parties, especially the market consumer confidence is the key, the need for the state from a deeper level, greater efforts to activate the real estate market policies and measures. The above-mentioned insiders of a real estate company in East China said that they expect the government to assist in communicating with financial institutions to reduce the financing costs of private enterprises, open restrictions, flexible governance, and further stimulate the market through multiple channels.
Liu Shui, director of enterprise research at the China Index Research Institute, believes that it is expected that all localities will strengthen the closed loop of "push-feedback", strengthen the linkage between housing and financial management departments, and let more projects be shortlisted for the "white list" as much as possible, so as to jointly promote the implementation of financing as soon as possible.
"The whitelist urgently needs to be expanded and accelerated, and the number and scale of approved financing projects are still relatively limited. Liu Shui said that all parties need to perform their own duties, form a joint force, and coordinate and solve the problems of projects that do not meet the requirements. Financial institutions need to give feedback on the problems existing in the project in a timely manner, and the urban real estate financing coordination mechanism should be solved as soon as possible. Adhere to the principles of marketization and rule of law, distinguish the degree of project risk, and some risky projects are difficult to rely on project rectification to meet the requirements of the "white list", but their financing needs still need to be appropriately met in accordance with the way of risk resolution.
Li Yujia believes that the senior leaders once again emphasized "making good use of the autonomy of real estate regulation and control, and adjusting and optimizing real estate policies according to local conditions", which means that financial institutions must support compliance projects, but they cannot rely on financial institutions alone, and local governments must activate the market. Therefore, the power of regulation and control is given to the local government, and the responsibility and obligation to stabilize the market are also in place. In the future, policies will continue to be optimized, such as more and more cities will cancel the lower limit of the mortgage interest rate for the first home, and continue to promote the "trade-in" of second-hand housing. However, it is difficult to stabilize the market by relying on demand-side stimulus alone, and the key is supply-side reform, which is the key to bringing fresh blood to the market.