The real estate market policy has been frequently favorable, with some real estate companies achieving outstanding performance. The real estate sector led the gains, with stocks such as China Fortune Land Development hitting the daily price limit [SMM News

SMM July 10 News:

Expectations of favorable property market policies intensified, with some developers posting strong performance. Coupled with the main index surpassing 3,500, market funds' favour for the real estate sector drove its afternoon rally on July 10. At market close, the real estate development sector led the gains with a 3.04% rise, while the real estate services sector gained 2.3%. Among individual stocks, China Fortune Land Development, Shenzhen Special Real Estate, Everbright Jiabao, Yuka Development, Nanshan Holdings, and Greenland Holdings hit the daily limit-up. Financial Street, Seazen Holdings, Beijing Capital Development, Teff Service, and 5i5j Group were among the top gainers. On the news front, the National Development and Reform Commission (NDRC) Urban and Small Town Reform and Development Center recently stated that to achieve the new-type urbanization target by 2035, it is essential to follow trends, seize the key period of strong urbanization momentum, and advance four high-quality new-type urbanization actions to support Chinese modernization. The Beijing Municipal Government issued the "Beijing Action Plan for Deepening Reforms and Boosting Consumption," mentioning optimized new housing supply. On July 8, Binhu District in Wuxi released measures to further promote housing consumption, including supporting home purchases by "Super League" players and spectators.

News

[NDRC Urban and Small Town Reform and Development Center: Leveraging "Two Major" and "Two New" Funds to Increase Investment in Key Areas of New-Type Urbanization]The National Development and Reform Commission (NDRC) Urban and Small Town Reform and Development Center recently emphasized anchoring the new-type urbanization goal by 2035, urging alignment with trends and leveraging the current strong urbanization momentum to implement four high-quality actions supporting Chinese modernization. Specifically, it proposed using funds from the program of implementing major national strategies and building up security capacity in key areas ("Two Major") and the program of large-scale equipment upgrades and consumer goods trade-ins ("Two New") to boost investment in key urbanization sectors. First, expanding "Two Major" projects to support eligible initiatives like new-round rural-to-urban migration, urbanization in potential regions, modern metropolitan cultivation, urban renewal, and safety resilience, while extending coverage to weaker areas like living environments, municipal facilities, and industrial support. Second, tailoring trade-in policies for different rural migrant groups (older generation, new generation) based on consumption traits, incorporating them into "Two New" support. Third, allowing population-inflow cities to utilize ultra-long special treasury bonds and local government special bonds to reclaim idle land and acquire surplus homes, continuously expanding affordable housing supply for rural migrants. [Z6/][Beijing: Studying and Formulating "Mortgage Transfer" Policy for Individual Housing Loans with Housing Provident Fund and Launching Related Services] The Beijing Municipal People's Government issued the Action Plan for Deepening Reforms and Boosting Consumption, which mentioned optimizing new housing supply. Priority will be given to supplying residential land near rail transit stations and areas with high employment density, improving the "guaranteed + market" housing supply system. Further leveraging the role of the housing provident fund, it supports contributors in applying for individual housing loans with the housing provident fund while using their provident fund to pay the down payment for home purchases. The policy on "mortgage transfer" for individual housing loans with the housing provident fund is being studied and formulated, and related services are being launched. It encourages the provision of products and services such as house renovation design, customized whole-house decoration, and smart home solutions, promoting integrated indoor full-smart assembly and whole-house intelligent IoT. Encouraging the construction of smart communities, exploring the "property management + life services" model, developing community-embedded service facilities, and achieving full coverage of the "15-minute convenience living circle".[Z7/][Ministry of Housing and Urban-Rural Development: Continuously Consolidating the Stable Situation of the Real Estate Market] A research team from the Ministry of Housing and Urban-Rural Development recently visited Guangdong and Zhejiang provinces. The team stated that promoting the stable, healthy, and high-quality development of the real estate market is of great significance. All regions must take up their responsibilities, fully utilize the autonomy in real estate regulation policies, adopt city-specific and precise measures, enhance the systematic and effective implementation of policies, and continuously consolidate the stable situation of the real estate market. The team required accelerating the construction of safe, comfortable, green, and smart "good houses" to meet the new expectations of the people. Efforts should be made to stabilize expectations, activate demand, optimize supply, and mitigate risks, pushing for a stronger recovery in the real estate market. The team pointed out that, in the face of complex domestic and overseas economic conditions, all regions and relevant departments have resolutely implemented the decisions and plans of the CPC Central Committee and the State Council. The battle for ensuring housing delivery has been advanced powerfully, effectively safeguarding the legitimate rights and interests of homebuyers. The continuous implementation of the stimulus policy package has led to a YoY increase in the total volume of new and second-hand home transactions in H1, with the real estate market generally maintaining a stable situation. The proportion of second-hand home transactions is gradually increasing, with several provinces seeing more second-hand home transactions than new homes, presenting new characteristics in the real estate market. (Xinhua News Agency)[Z8/] Click for more details [Z9/][PBOC: Strengthening Support for Scientific and Technological Innovation and Boosting Consumption, Exploring Regularized Institutional Arrangements to Maintain Capital Market Stability] The 2025 Q2 (109th overall) meeting of the People's Bank of China Monetary Policy Committee was held on June 23. The meeting discussed deepening financial supply-side structural reforms, pointing out the need to guide large banks to play a leading role in serving the real economy, promote small and medium-sized banks to focus on their primary responsibilities, support banks in replenishing capital, and jointly maintain the stable development of the financial market.[Z10/]Effectively implement various structural monetary policy tools, solidly advance the "five major areas" in finance, intensify support for scientific and technological innovation and consumption stimulation, and strengthen financing support for key areas including "two major strategies" and the "two new initiatives." Utilize swap facilities for securities, funds, and insurance companies as well as share repurchase and equity increase relending, explore institutional arrangements for normalization, and maintain capital market stability. Continue providing financial services that support the development and growth of the private sector, fully leverage the coordination mechanism for micro and small enterprise financing, and further eliminate bottlenecks and obstacles in SME financing.

Vigorously promote the implementation of introduced financial policies and measures, intensify efforts to revitalize existing commercial housing and land inventories, sustainably consolidate stable real estate market conditions, improve foundational real estate financial systems, and facilitate the establishment of a new development model for the sector. Effectively advance high-level two-way financial opening-up, and enhance economic and financial management capabilities and risk prevention and control capacities under opening-up conditions.

[He Lifeng Pointed Out During Inspection in Hebei: Actively Expand Domestic Demand, Boost Consumption, and Better Promote High-Quality Economic Development] According to Xinhua News Agency, He Lifeng, Member of the Political Bureau of the CPC Central Committee and Vice Premier of the State Council, stated during an inspection in Hebei from the 23rd to 24th that we should thoroughly study and implement the guiding principles of General Secretary Xi Jinping, conscientiously carry out the decisions and arrangements of the CPC Central Committee and the State Council, accelerate the establishment of a unified national market, actively expand domestic demand and boost consumption, expedite the establishment of a new real estate development model, develop new quality productive forces in line with local conditions, and better promote high-quality economic development. He Lifeng visited Handan and Xingtai to conduct field inspections of home appliance trade-in activities, real estate development and sales, and the development of new energy and new materials industries, gaining an in-depth understanding of the economic situation in H1, business operations of relevant enterprises, and major challenges faced. He pointed out that since the beginning of this year, China's economy has maintained positive momentum amid pressures, with continuously boosted social confidence. We should continue to ensure the effective implementation of trade-in policies for major durable consumer goods and stabilize market expectations in a robust manner. Relevant cities may, based on actual conditions and with the goal of greater convenience, integrate consumer goods trade-ins with urban renewal initiatives to better stimulate consumption potential. We should sustainably consolidate stable real estate market conditions, accelerate the establishment of a new real estate development model, and better meet the people's new expectations for "high-quality housing." We should intensify efforts to promote stable volume growth and quality improvement in foreign trade production enterprises, and advance the integrated development of domestic and foreign trade. We should strictly implement requirements for strengthened supervision and risk prevention, and effectively prevent and defuse risks of local small and medium-sized financial institutions in an orderly manner. We should focus on core businesses, continuously promote innovative development of enterprises in high-end equipment manufacturing, intelligent PV, clean energy, new materials, and other sectors, and comprehensively address cut-throat competition. Efforts should be accelerated to transform and upgrade economic and technological development zones, enhance specialized service capabilities for enterprises within these zones, and develop new quality productive forces in line with local conditions. He Lifeng urged relevant departments and local authorities to conduct in-depth research, actively explore innovations, promptly address practical challenges faced by enterprises, effectively address the impacts of external shocks, and fully achieve the economic work targets for H1 and the entire year to better promote high-quality economic development.

[The 12th meeting of the 14th National Committee of the Chinese People’s Political Consultative Conference (CPPCC) Standing Committee holds a plenary session, with speeches delivered on "further deepening economic restructuring and advancing Chinese modernization"] According to Xinhua News Agency, the 12th plenary session of the 14th National Committee of the CPPCC Standing Committee convened on the afternoon of the 24th, where 14 CPPCC National Committee members delivered speeches on "further deepening economic restructuring and advancing Chinese modernization." Wang Huning, member of the Political Bureau of the CPC Central Committee and Chairman of the CPPCC National Committee, attended the meeting. Cao Weixing, on behalf of the Central Committee of the China Democratic League, proposed in his speech that China should promote a better integration of an efficient market and a proactive government, and establish a unified national market featuring high efficiency, standardized operations, fair competition, and full openness. Xu Xiaolan suggested improving long-term mechanisms to encourage, support, and guide private economic entities in participating in national technological breakthroughs. Liu Zhongfan, on behalf of the Central Committee of the Jiusan Society, recommended refining mechanisms for commercializing scientific and technological achievements, facilitating the integration of technology and economy, and accelerating the cultivation of new quality productive forces. Zhang Lianqi proposed expanding domestic demand by prioritizing the resolution of urgent, difficult, and pressing issues in people’s livelihoods, and advancing high-quality development through "investing in human capital." Yao Aixing, on behalf of the Central Committee of the China Association for Promoting Democracy, called for deepening fiscal and taxation reforms to establish clear fiscal powers and responsibilities, coordinated financial resources, and balanced regional fiscal relations between central and local governments. Yi Gang proposed deepening financial sector reforms to strengthen financial support for private enterprises and technological innovation, and ensure high-quality financial supply for green and low-carbon development. Li Shijie, on behalf of the Central Committee of the China National Democratic Construction Association, suggested improving diversified investment growth mechanisms to support technological innovation and accelerate the cultivation of future-oriented industries. Yan Ying recommended promoting efficient allocation of computing resources and facilitating coordinated development between industry-specific and general-purpose large models. Li Huidong, on behalf of the Central Committee of the Revolutionary Committee of the Chinese Kuomintang, proposed deepening reforms and innovations in agricultural technology extension to achieve organic integration of technological innovation with industrial development and effective alignment of technical services with industrial demands. Wang Xiaodong emphasized the role of county seats in connecting cities and driving rural development to advance integrated urban-rural development. Fang Guanghua suggested joint efforts by governments, enterprises, and universities to promote high-quality and sufficient employment for college graduates. Standing Committee member Feng Zhenglin proposed accelerating the establishment of a new model for real estate development to serve new-type urbanization and common prosperity.Standing Committee member Li Yao suggested strengthening investment and financing support, expanding new formats in service trade, and promoting high-quality development of the Belt and Road Initiative. Standing Committee member Hong Huimin recommended proactive measures to stabilize and improve foreign investment and trade.

[Wuxi Binhu District: Offers Home Purchase Subsidies of 30,000–50,000 Yuan per Unit for Jiangsu Super League Players and Spectators]According to a July 8 announcement by "Wuxi Binhu Release," the Wuxi Binhu District Housing and Urban-Rural Development Bureau recently issued Several Measures to Further Promote Housing Consumption in Binhu District. The measures include support for home purchases by players and spectators of the Jiangsu Provincial Urban Football League. From the date of issuance until October 31, 2025, real estate developers are encouraged to provide subsidies of 30,000–50,000 yuan per unit for purchases of newly built commercial housing in Binhu District by eligible participants, upon submission of proof of participation or attendance.

[Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd.: H1 Net Profit Expected to Rise 1,411.70%–2,034.17% YoY]Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. announced that its H1 2025 net profit attributable to shareholders of the publicly listed firm is projected at 85–120 million yuan, up 1,411.70%–2,034.17% YoY. The increase was driven by higher revenue recognition from real estate projects during the reporting period.

[Shenzhen Zhenye (Group) Co., Ltd.: Steadily Advancing Real Estate Development and Sales]On July 9, Shenzhen Zhenye (Group) Co., Ltd. stated in response to investor inquiries that, in line with central policies promoting stable and healthy real estate market development, the company is prudently advancing property development and sales while continuing transformation research.

[Guangdong Issues Guidelines: Illegal Properties Including "Small Property Rights" Homes Barred from Registration]The Guangdong Provincial Department of Natural Resources recently issued the Guiding Opinions on Accelerating Solutions to Historical Issues Concerning Real Estate Registration on State-Owned Construction Land, effective August 4, 2025, for five years. The document emphasizes resolving issues by addressing deficiencies without penalizing residents, separating developer liabilities from public interests. It establishes a negative list prohibiting legalization of illegal land use or construction via registration, excludes normal projects from historical issue treatment, and explicitly bans registration for "small property rights" homes or developments violating permanent farmland or ecological protection red lines.

[Guangzhou Proposes "Commercial-to-Public Housing Loan" Policy; Policy Activates When Individual Loan Rate Falls Below 75%]The Guangzhou Housing Provident Fund Management Center has publicly solicited opinions on the "Guangzhou Implementation Measures for Converting Commercial Personal Housing Loans to Housing Provident Fund Personal Housing Loans (Provisional)" (Exposure Draft). The measures propose that when the housing provident fund individual housing loan rate falls below 75%, depositors may apply to convert their outstanding commercial personal housing loan balances from Guangzhou's housing provident fund loan participating banks into public housing loans. When the individual loan rate reaches 85% or higher, risk control measures may be implemented including but not limited to quota management and appointment applications for commercial-to-public loan conversions. The policy will be suspended when the individual loan rate reaches 90% or higher. During implementation, the Guangzhou Housing Provident Fund Management Center may promptly adopt risk control measures based on fund availability and loan conditions. The commercial-to-public loan amount shall be verified according to Guangzhou's prevailing provident fund loan policies at the time of application, and shall not exceed the difference between the original commercial loan balance and the principal repayments due for the next three months, nor exceed 60% of the total property purchase price. The total purchase price shall be determined by the lower value between the original purchase price and the re-appraised property value.

[Henan Adjusts Monthly Housing Provident Fund Contribution Ceilings] Recently, the Henan Provincial Capital Housing Fund Management Center issued a notice on verifying the 2025 provincial housing provident fund contribution ratios and bases. The notice states that in accordance with the principle that the monthly housing provident fund contribution base shall not exceed three times the previous year's average monthly wage of non-private sector employees, the 2025 monthly contribution base ceiling is set at 27,520 yuan with a total monthly contribution ceiling of 6,604 yuan. Based on Zhengzhou's 2024 minimum wage standard of 2,100 yuan, the monthly contribution base floor is established at 2,100 yuan with a total monthly contribution floor of 210 yuan.

[Zhengzhou Raises Monthly Housing Provident Fund Contribution Ceilings] Recently, the Zhengzhou Housing Provident Fund Management Center announced adjustments to the 2025 housing provident fund contribution bases and ratios. The 2025 monthly contribution base ceiling for Zhengzhou is set at 27,520 yuan with a total monthly contribution ceiling of 6,604 yuan, while the monthly contribution base floor remains at 2,100 yuan with a total monthly contribution floor of 210 yuan.

[Sunac China: Proposes Issuing 754 Million New Shares to Settle 5.6 Billion Yuan Domestic Bonds]Sunac China announced on the Hong Kong Stock Exchange on July 4 that to facilitate the orderly implementation of the stock option component in its domestic debt restructuring, the company entered into a subscription agreement with a special purpose vehicle on July 3, 2025. Under this agreement, the special purpose vehicle conditionally agreed to subscribe while Sunac conditionally agreed to allot and issue an aggregate of 754,468,943 shares. The net domestic funds equivalent to the proceeds from the disposal of such shares by the special purpose company will be used to repay relevant domestic bonds held by domestic bondholders who elected the stock option, with an aggregate principal amount of approximately RMB5.6 billion.

[Hubei Jingmen: Completed Property Sales to Be Implemented for Newly Transferred Land Development Projects from January 1, 2026] On July 3, the Office of the Leading Group for Promoting Steady and Healthy Development of the Real Estate Market in Jingmen City, Hubei Province, issued the "Policy Measures for Continuously Consolidating the Stability of the Central Urban Real Estate Market," proposing to orderly promote the sale of completed properties. For newly transferred premium residential development land, priority will be given to adopting the completed property sales model. From January 1, 2026, newly transferred land for commodity housing development shall, in principle, implement the sale of completed properties. In accordance with the principle of "differentiation between new and existing projects," the pre-sale threshold for commodity housing will be gradually raised. For projects obtaining construction permits after August 1, 2025, the construction progress shall reach the topping-out stage of the main building structure.

[China Index Academy: Land Acquisition by Top 100 Real Estate Enterprises Increased 33.3% YoY in H1] Data from China Index Academy shows that in H1 2025, the total land acquisition value of TOP100 real estate enterprises reached RMB506.55 billion, up 33.3% YoY, with the growth rate expanding by 4.5 percentage points MoM. Affected by the low base in the previous year, the YoY growth in land acquisition by TOP100 enterprises accelerated compared to the previous month. Overall, the transaction area of residential land in 300 cities continued to contract in H1 2025, but the total land transfer revenue in 300 cities increased significantly YoY driven by increased supply of premium plots in core cities. State-owned enterprises remained the main land acquirers, with 8 out of the top 10 land acquisition enterprises being state-owned enterprises. Some private enterprises also maintained certain investment intensity - for example, Beam Group ranked among the top 10 in land acquisition value, while Bond Group and Taihe County Dahua Metal Materials Co., Ltd. also entered the top 20.

[Wuhan: Policy Period for "Optimizing Approval Services for New Commercial Housing Projects" Extended to December 31, 2025] The official website of Wuhan Housing and Urban Renewal Bureau issued the "Notice on Extending the Period of Certain Real Estate Policies." The application period for the policy under Article 8 "Optimizing Approval Services for New Commercial Housing Projects" in the "Notice on Further Optimizing and Improving Policy Measures to Promote the Steady and Healthy Development of Wuhan's Real Estate Market" (WF [2024] No. 1) will be extended to December 31, 2025. From October 1, 2024, to December 31, 2025, for new commercial housing purchases in Wuhan, when applying for the real estate ownership certificate, properties recognized as the first home for a family will receive a full subsidy equivalent to the actual deed tax paid, while those recognized as the second home for a family will receive a 50% subsidy of the actual deed tax paid.

[Qingdao Introduces New Housing Provident Fund Policies: Maximum Loan Limit Raised to 1.7 Million Yuan]Qingdao Housing Provident Fund Management Center issued a notice on optimizing and adjusting housing provident fund loan policies, effective from the date of issuance. The policy adjustments include: 1) Stackable loan limit increases. Multi-child families, high-quality residential purchases, green residential purchases, existing commercial property purchases, and flexible employment personnel can stack their respective loan limit increases. For joint applicants where both parties meet eligibility criteria, the stacked maximum loan limit shall not exceed 1.7 million yuan; for single applicants meeting eligibility criteria, the stacked maximum loan limit shall not exceed 1.1 million yuan. 2) Debt repayment capacity coefficient adjustment. The "debt repayment capacity coefficient" in the housing provident fund loan calculation formula is increased from 30% to 40%.

[Shenyang Optimizes Six Housing Provident Fund Policies Starting July 1]Approved by the Shenyang Housing Provident Fund Management Committee, six policy measures will be optimized starting July 1, 2025, including extending the 15% minimum down payment ratio policy (implemented since November 2024) for housing provident fund loans until December 31, 2025. Flexibly employed depositors, non-local depositing employees, and active-duty military personnel can convert commercial housing loans with 5+ years of repayment history into housing provident fund loans. The policy validity period extends to December 31, 2026. For depositors purchasing newly certified high-quality residential properties, the loan ceiling may be raised to 1.4 times the current maximum loan limit. The account balance multiplier for unit-depositing employees' loan calculations increases from 22x to 25x, with flexible employment personnel's multipliers adjusted accordingly. The home purchase deadline for withdrawing housing provident funds to cover down payments extends from June 30, 2025 to December 31, 2026, with processing deadlines extended from August 31, 2025 to February 28, 2027. Fresh graduates from Shenyang's colleges, vocational schools, and technical institutions (2024-2026 cohorts) who start employment/entrepreneurship within two years and maintain continuous housing provident fund and pension contributions for 6+ months as flexible employees receive a 500 yuan account opening subsidy.

[Jinan: Housing Provident Fund Payments Now Accepted for Affordable Housing Purchases]Jinan Housing Provident Fund Center issued the "Notice on Supporting Depositors' Affordable Housing Purchases" on June 24, clarifying: Housing provident fund depositors purchasing affordable housing may withdraw account funds to cover down payments and apply for housing provident fund loans with a minimum 15% down payment ratio. The notice came into effect from the date of issuance. [Hangzhou: Housing Provident Fund Can Be Used Directly for Down Payment on Home Purchase] According to a message from "Hangzhou Release," in order to alleviate the pressure of paying the down payment for home purchases by housing provident fund contributors, the Hangzhou Housing Provident Fund Management Center has launched a service allowing the direct use of the housing provident fund for the down payment on new residential properties purchased in Hangzhou. The entire process supports online handling. The function for online processing of second-hand homes is under development and will be launched soon. [Xi'an: Allows Direct Use of Provident Fund for Down Payment on New Residential Properties] The Xi'an Housing and Urban-Rural Development Bureau and other relevant departments jointly issued the "Several Measures for Promoting the Steady and Healthy Development of the Real Estate Market in Xi'an." The measures mentioned deepening financial support for real estate, implementing policies such as lowering down payments and interest rates. It also expands the scope of the "whitelist" for real estate developers' financing, optimizes the loan approval process, and increases financing support for commercial and office projects; it enhances the support of the housing provident fund, allowing its direct use for the down payment on new residential properties. The range of inter-regional loans for the housing provident fund has been expanded to cover the Guanzhong Plain Urban Agglomeration and employees contributing within the province. [Quzhou Introduces New Real Estate Policies, Promotes Subsidies for Improvement Housing Purchases by Multi-Child Families] The Quzhou Housing and Urban-Rural Development Bureau, Quzhou Finance Bureau, and Quzhou Health Commission jointly released today the "Notice on Further Promoting the Steady and Healthy Development of the Real Estate Market with Several Measures," proposing subsidies for improvement housing purchases by multi-child families. Starting from June 20, 2025, multi-child families purchasing new residential properties in the urban area (projects that first obtained pre-sale permits since 2021) can enjoy improvement housing purchase subsidies. For two-child families, if the property's floor area in the "Zhejiang Province Commodity Housing Purchase Contract" is 100 m² or more, they can apply for a subsidy of 80,000 yuan; for three-child families, if the property's floor area in the contract is 120 m² or more, they can apply for a subsidy of 200,000 yuan. The subsidies are issued in the form of housing vouchers, which can be used in conjunction with various types of housing vouchers, with a trial period of one year. Specific implementation rules will be formulated separately by the Municipal Housing and Urban-Rural Development Bureau, the Municipal Finance Bureau, and the Municipal Health Commission. Voices from All Sides Huayuan Securities believes that since September 2024, "stabilizing the real estate market and stock market" has been a clear requirement at the central level. Since April, uncertainties in Sino-US trade frictions and increased external environmental fluctuations have made stabilizing the real estate and stock markets crucial for boosting social expectations and facilitating domestic demand circulation. This year, the central government has frequently emphasized the construction of good quality houses and high-grade residences. Under the guidance of policy and changes in the supply and demand structure, high-grade residences may usher in a wave of development.

Zhang Zuohao, Chief Macro Analyst at Hongze Mida (Shanghai) Investment Consulting Co., Ltd., shared insights on "Analysis and Outlook of China's Infrastructure and Real Estate Trends" at the 2025 SMM (3rd) Wire & Cable Industry Development Conference and Wire & Cable Industry Exhibition - Wire & Cable Industry Development Conference Forum hosted by SMM Information & Technology Co., Ltd., co-organized by Luoyang Sanwu Cable Group Co., Ltd., and supported by Jiangsu Cable Association, Henan Electrician Association, Zhejiang Cable Association, Hunan Cable Association, Guangdong Cable Association, Shanghai Cable Association, Shenzhen Robot Special Cable Association, Guizhou Cable Association, Hubei Cable Association, as well as Anhui Xinhai High-conductivity New Materials Co., Ltd., Minfeng Cable Group Co., Ltd., Soochow Futures Co., Ltd., Zhejiang Dongyi Holding Group Co., Ltd., and Jiangsu Zhongli Group Co., Ltd. He stated: The supply-demand dynamics in the second-hand housing market have shown marked improvement; inventory of new homes continued to deplete, with prices gradually approaching a bottom; issuance of special bonds for land reserves began to accelerate, which is critical for the subsequent recovery of the land market.

[China Index Academy: Real estate sales decline expected to slightly widen in H2 compared to H1]China Index Academy released its H1 2025 China Real Estate Market Summary and H2 Outlook: Supported by the September 26 policy package last year, the real estate market maintained recovery momentum in Q1 2025, achieving initial stabilization. Since the beginning of the year, market recovery has been concentrated in core cities, with "premium cities + premium properties" demonstrating strong resilience and the land market showing partial recovery, though market momentum weakened marginally in Q2. Policy guidance in H1 continued to send positive signals, with the April Political Bureau meeting emphasizing "sustaining market stabilization" and proposing "increasing high-quality housing supply" while stressing "optimization of existing commercial housing acquisition policies." The June 13 State Council executive meeting reiterated "greater efforts to stabilize the real estate market" and "further policy optimization to enhance systemic effectiveness," explicitly outlining policy priorities in "stabilizing expectations, stimulating demand, optimizing supply, and mitigating risks," injecting confidence into the market. Looking ahead to H2, considering the elevated sales base in Q4 last year driven by policy packages, the sales decline is expected to slightly widen compared to H1, with "premium cities + premium properties" still offering structural opportunities.

[CRIC: "Stable housing market" policies expected to intensify in H2 with potential inventory pressure relief]CRIC Research indicates that under sustained policy adjustments, China's real estate market is progressing toward stabilization and healthy development in H1 2025. Since Q2, the pace of policy implementation has accelerated significantly, helping to expedite the transformation of the real estate market towards a new and better state. The proactive policy efforts by both the central and local governments in H1 have provided strong support for the stability and healthy development of the real estate market. It is expected that further efforts will be made to stabilize the market in H2. With the comprehensive implementation of urban renewal and land acquisition and storage policies, inventory pressure in the industry is expected to be further alleviated on both the supply and demand sides. The real estate market is expected to achieve a new dynamic balance in supply and demand more quickly, and the industry will accelerate its progress towards high-quality development.

Ping'an Securities Research Report points out: Focus on real estate enterprises that benefit from the "good housing" initiative, which have stopped falling and stabilized first, and offer stable and attractive dividends. In comparison with the mainland property market, despite a 2.9% YoY decline in the national commercial housing sales area from January to May, it is important to note: 1) that the core areas of some key cities and "good housing" are gradually stopping falling and stabilizing; 2) that the dividends of some real estate enterprises with high-quality businesses or relatively healthy development remain stable, such as China Resources Land and CIFI Holdings Group, which have maintained overall stable dividends since 2022, with dividend yields corresponding to the latest market values still at 5.2% and 7.2% in 2024. With the rising policy expectations and the driving force of Hong Kong-funded real estate enterprises, the short-term sector allocation window is gradually approaching. The short-term real estate market pullback, combined with the approaching important meeting in July, has led to an increase in sector gaming sentiment. At the same time, Ping'an Securities believes that the market has paid too much attention to the overall performance of the real estate market, while neglecting the fact that some "core areas and good housing" are gradually stopping falling and stabilizing, and that some high-quality real estate enterprises have gradually emerged from the trough with relatively stable dividends. The short-term sector allocation window may gradually approach.

Guojin Securities points out that with the conclusion of the real estate market in H1, amidst a backdrop where policies have not yet been intensified, sales pulled back in Q2. Considering the goal of stopping falling and stabilizing and the pace of policy implementation over the past two years, Q3 is a critical period for policy efforts, and the tone and direction set in Q3 are expected to directly influence the real estate market's performance throughout H2. Given the current decline in the valuation of the real estate sector and the relatively low open interest, there may be certain flexibility in trading. It is recommended to allocate real estate stocks at lows. Recommended targets that operate steadily and are expected to benefit from potential policy incentives: Developers that primarily focus on key first- and second-tier cities, offer improvement products, and possess the ability to continuously acquire land are prioritized.