In recent years, there has been a significant correction in the domestic real estate market, and after 2024, this trend is expected to continue. As of January 2024, the average second-hand residential ** is 15,230 yuan square meters, a month-on-month **056% for 21 consecutive months**. As early as 2018, Li Ka-shing said that the real estate market would face a major reshuffle, and now this trend is gradually emerging. For families with more than 2 properties, there may be more challenges and impacts. This article will analyze three scenarios that may arise in the future.
With the surge in the number of second-hand housing listings in China, the number of second-hand housing listings in Zhengzhou, Wuhan, Qingdao, Tianjin and other cities has exceeded 150,000 units, and Chongqing has exceeded 250,000 units. The second-hand housing market is becoming increasingly difficult to sell, and even in the bustling city center of Shanghai, it is difficult to sell properties that are more than 20% above the market price. As the property market adjustment deepens, the liquidity of houses in various places will deteriorate further, resulting in families holding multiple properties may face the dilemma of difficulty in liquidating, and eventually they can only watch the depreciation of real estate and lose liquidity.
Continued text expansion: In addition, as the real estate market adjusts further, many landlords may face a dilemma such as choosing to reduce the price** or hold. For example, some second-hand landlords may be forced to sell their properties due to urgent need for funds or other reasons, but the reduced liquidity in the market will make it difficult to close the property. In this case, families with multiple properties may need to be more cautious about future realisations. In the face of deteriorating liquidity, families need to develop a more thoughtful asset management plan to reduce potential risks.
For families with more than 2 properties, the pressure to hold a home in the future is likely to increase. On the one hand, many families bought multiple properties before the epidemic, but after the epidemic, problems such as reduced income and unemployment have not alleviated the pressure on mortgages. This puts more financial pressure on families with multiple properties and requires a long-term response. On the other hand, as the number of properties increases, families need to bear more expenses such as property fees, heating bills, maintenance**, etc., and these expenses can vary from year to year**. In contrast, the burden of home ownership for families with multiple properties will be heavier, requiring more money and effort to maintain and manage.
Continued text expansion: In addition, families may need to adjust their financial planning and lifestyle in the face of increasing pressure to own a home. For example, consider renting one of the properties for a steady income, or investing more to reduce the burden. At the same time, for family members, it is also necessary to enhance financial awareness, plan expenses reasonably, and cope with possible emergencies. With the increasing pressure of housing ownership, families need to carefully assess their financial situation and adjust their investment structure in time to ensure that financial risks are controllable.
Many people have thought that the real estate market will show a trend of housing prices in first-tier cities and housing prices in third- and fourth-tier cities in the future, but this may not be the case. Relatively speaking, the ratio of housing prices to residents' income in third- and fourth-tier cities is not high, and the space for housing prices is limited; The ratio of housing prices to income in first-tier cities has exceeded 40, indicating that their high housing prices pose a great challenge to residents' ability to buy houses. In the future, urban housing prices will gradually be linked to residents' incomes, which means that households with multiple properties may be at risk of shrinking property market value and reduced investment returns.
Continued text expansion: In the face of the continuous shrinking market value of real estate, families need to carefully evaluate their asset allocation and investment strategies. You may need to consider more diversification to diversify your risk and reduce your reliance on the property market. At the same time, it can also strengthen the understanding of local economic development and policy changes, and adjust investment strategies in a timely manner to adapt to market changes. In addition, for vacant properties, families can also consider renting out or other ways to make reasonable use of them for a steady flow of funds and opportunities for appreciation. Through effective asset management and investment planning, families can better mitigate the financial pressures and risks caused by the shrinking market value of their properties.
In the face of households with more than two properties, the current adjustment of the real estate market will bring multiple challenges such as deterioration of liquidity, increased pressure on property ownership, and continuous shrinkage of property market value. Therefore, families need to carefully assess their financial situation and asset allocation, effectively plan their property investment, and adjust their strategies in time to reduce risks. In an uncertain market environment ahead, prudent decision-making and asset management will be key to meeting the challenges of multi-property households.