Chinese have always bought and saved housesBanksAs one of the main investment channels. However, under the current trend of adjustment in the domestic real estate market, as wellBanksDeposit interest ratesIn the case of continuous decline, there are 1 million in hand to continue to saveBanksOr buying a house has become a matter of great concern. In this article, we will ** this question from different angles and give our recommendations.
AlthoughRoom ratesIt has been at a high level, but in recent years, the real estate market has introduced many favorable policies, which has brought a certain boost to some people's confidence in buying a house. They think, thoughRoom rates**, but the likelihood of a future recovery in the real estate market is significant, in contrastBanksDeposit interest ratesThe decline makes it more difficult to increase the value of money. Therefore, they insisted that it was more cost-effective to buy a house with 1 million in hand.
However, there are also those who hold the opposite view. They believe that the adjustment of the domestic real estate market has been formed, andRoom rates** is a high probability event. In this case, deposit the moneyBanksSeems like a more prudent decision, at least the principal andInterestYes, it is guaranteed. Their view is that if they have 1 million in their hands, they will continue to save itBanksMore realistic.
Based on the above points, we believe that the money should continue to be depositedBanksMore reasonable. The main reasons are as follows:
1.Lack of purchasing power: currently in many cities in the countryRoom ratesis so high that 1 million can't buy a house at allBuying a houseNeed toBanksloans, and you also need to repay the mortgage every month. If you suddenly experience a decrease in income or lose your job, life will be even more stressful. In contrast, deposit fundsBanksYou can get at least 20,000 yuan per yearInterestincome, which not only supports daily expenses, but also subsidizes the household.
2.Real Estate Trends:Buying a houseWhether it is cost-effective or not depends on the trend of the real estate market. Currently domesticRoom ratesGenerally in the ** channel, money depositedBanksIt seems to be more cost-effective. AlthoughBanksDeposit interest ratesdown, but at least the principal is secured. In contrast, at a high levelBuying a houseExposure to the risk of asset shrinkage. In fact, some families were in 2019 to 2021Buying a houseAfter,Down paymenthas fallen off, which illustratesBuying a houseThe risks are significant.
Real estate bubblesand downside: all over the countryRoom ratesThere is a large bubble in general, and there is a lot of downside. At the same time,BanksDeposit interest ratesAlready close to the bottom area. For example, second- and third-tier citiesRoom ratesWith an income ratio of 20-25, residents need to work for 20-25 years to buy a home. And first-tier citiesRoom ratesWith an income ratio of 50-60, residents need to work for 50-60 years to buy a home. Especially in first-tier cities such as Beijing, Shanghai, and ShenzhenRoom ratesIt is already the highest in the worldRoom ratesTop five. So hugeReal estate bubblesEventually, it will return to the residential property. So, deposit the moneyBanks, as long as the principal is not lost, etcReal estate bubblesAfter being squeezed dry, againBuying a houseBuying a houseThe cost will be significantly reduced.
To sum up, we recommend that the 1 million in hand continue to be depositedBanks。Although many people think that now is a good time to buy a house, in fact, in the big cities of the countryBuying a houseIt means that there is a lot of debt pressure. In addition, as the current real estate market is in a period of adjustment, it is contrarianBuying a houseExposure to the risk of losing money. In contrast, deposit moneyBanksMore secure. What's more, currently domesticRoom ratesGenerally too high, deposit moneyBanksAfter waitingRoom rates**Re-purchase,Buying a houseThe cost will be significantly reduced. Ultimately, the decision-making power is still in the hands of the individual, and it is important to make informed choices based on one's own financial situation and risk tolerance.