After the new policy for selling existing homes on August 28, local and housing enterprises have adjusted the pace of local sales. According to public listing information, in October of this year, land supply to first-tier cities entered a phased “cooling-off period”. Up to now, there are no residential land concession arrangements in Beijing, Shanghai, or Shenzhen this month; only Guangzhou has a small amount of land entering the market. Previously, in September, the premium rate in the local auction market was also reduced. The industry said that the new housing sales policy will have a great impact on both land supply and demand. On the supply side, local governments are expected to optimize land concession arrangements to help housing enterprises balance pressure on cash flow. Land acquisition by housing enterprises must not only calculate the difference in price between “flour” and “bread,” but also calculate the more complicated account of the capital occupation cycle and the pace of repayment.

After the new policy for selling existing homes on August 28, local and housing enterprises have adjusted the pace of local sales. According to public listing information, in October of this year, land supply to first-tier cities entered a phased “cooling-off period”. Up to now, there are no residential land concession arrangements in Beijing, Shanghai, or Shenzhen this month; only Guangzhou has a small amount of land entering the market. Previously, in September, the premium rate in the local auction market was also reduced. The industry said that the new housing sales policy will have a great impact on both land supply and demand. On the supply side, local governments are expected to optimize land concession arrangements to help housing enterprises balance pressure on cash flow. Land acquisition by housing enterprises must not only calculate the difference in price between “flour” and “bread,” but also calculate the more complicated account of the capital occupation cycle and the pace of repayment.