In recent years, the downturn in China's real estate market has persisted and is showing a trend that is difficult to reverse. According to the data, after 2023,Commercial housingThe sales area continues to decline, the sale of second-hand houses has also become difficult, and the housing prices in various cities are also **. This situation has created a lot of uncertainty about the future of the real estate market. Starting in 2024, China's real estate market is expected to usher in three major shifts. In this article, we will take a closer look at these three shifts and analyze their possible implications.
As the irreversible trend in the real estate market becomes more apparent, it is likely that China will take steps to accelerate the restructuring of its industrial structure. This means that China will gradually turn to the development of high-end manufacturing and high-tech fields, reducing the pairsReal estatedependence. In the past, Japan was inReal estate bubblesAfter the breakdown, it quickly shifted its focus to the animation industry, the new materials industry, and the automobile industry, and these three industries became its pillar industries. It is also expected that China will gradually reduce pairsReal estateSeek new breakthroughs in high-end manufacturing and high-tech fields. Reality has proven to be overly reliant on real estate to pullEconomyGrowth is not sustainable.
Further expansion and speeding up the adjustment of the industrial structure means that China will increase its investment in emerging industries. For example, strengthen R&D and innovation in areas such as artificial intelligence, biotechnology, and new energy to promote ChinaEconomyTransition to high-quality development. At the same time, speeding up the adjustment of the industrial structure will also promote the transformation of Chinese enterprises from traditional manufacturing to high value-added industries, improve the scientific and technological content and added value, and enhance the competitiveness and brand influence of Chinese products. This will further strengthen China in the worldEconomyin the position.
Recently, China's top brass has announced that it will launch a new round of housing reform, with a focus on accelerating the pace of affordable housing entering the market. This initiative is to meet the housing needs of different groups of people. Over the next five years, China plans to roll out 6 million affordable housing units and pilot them in 35 cities with populations of more than 3 million. This means that those who can afford it can buy itCommercial housing, while low- and middle-income groups can apply to buy affordable housing. At the same time,Commercial housingIt will be up to the market to decide that there will be no more interventions.
Further analysis shows that accelerating the pace of affordable housing entering the market will alleviate the current imbalance between housing supply and demand, provide suitable housing options, and improve the people's living environment. The low-cost nature of affordable housing will provide more housing opportunities for low- and middle-income people and improve their quality of life. This will also help to promote the rational mobility of urban population and the distribution of employment, and accelerate the sustainability of urban development. At the same time, market-orientedCommercial housingTrading will be further inspiredBuying a houseThe desire to buy promotes the activity of the real estate market. This move will inject new impetus into China's real estate market.
As early as October 2021, China's top brass announced that it would expand the levyPropertytax within the scope of the pilot city. Expected inEconomyslightly better casePropertyTax reform will be accelerated. InitiationPropertyThe purpose of the tax is to curb the demand for investment and speculation and reduce the number of housesVacancy rateand open up new sources of tax for the local **, increaseLocal fiscal revenues。It is expected that in the future, there will be more than two setsPropertyThe cost of home ownership will increase.
Further elaborated, accelerating the pace of real estate tax reform will effectively regulate the real estate market, curb the enthusiasm for investment and speculation, and reduceReal estate bubblesThe generation of protection, the ordinary protectionBuying a houseinterests. At the same time,PropertyThe collection of taxes can also promote the rational allocation of resources in the real estate market and avoid a large number of resources being vacant for a long time. This is crucial to the implementation of the concept of "living not speculation", which is conducive to the healthy development of the real estate market. PropertyThe collection of taxes could also be increasedLocal fiscal revenuesto reduce the financial pressure of local governments and provide more financial support for local development.
In the future, China's real estate market is facing tremendous changes. Under the circumstance that the real estate market cannot be reversed, it is necessary for China to speed up the adjustment of the industrial structure and reduce the pairsReal estatedependence. It is also important to accelerate the entry of affordable housing into the market andPropertyThe pace of tax reform. These three shifts will help to make it happenEconomysustainable development, improve the quality of people's living, and promote the stability of the city and social harmony. In the process of transformation of China's real estate market, it will also show more innovation and development potential.