news

한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

In the off-season of July, the new home market has seen a lot of discounts. Recently, a real estate project in Dongguan launched a "buy one get one free" promotion, which means buying a large-sized house in Dongguan and getting a Huizhou apartment for free. Although "buy one get one free" is eye-catching, it is estimated that the actual discount is only about 5% off.

According to data from the China Index Academy, the average weekly transaction area in key cities across the country has decreased since July compared with June, and the year-on-year decline is about 10%. However, the China Index Academy said that this decline is lower than the overall decline in new home sales in the first half of the year.

Buy one get one free in the property market?

The "Vanke Zhongtian Century Waterfront" project located in Dongguan has launched a "buy one, get one free" campaign since mid-July.

The event poster obtained by the reporter shows that consumers who purchase a unit of 140 square meters or more in the "Vanke Zhongtian Century Waterfront" project can receive a sea view apartment (designated property) in Huizhou Vanke Shuangyue Bay for free. The original plan was to end at the end of July.

The reporter asked the real estate consultant and learned that the developer of the "Vanke Zhongtian Century Waterfront" project has an average price of 35,000 yuan per square meter, and the current discounted price is 28,000 yuan per square meter. For a unit of more than 140 square meters, which corresponds to a four-bedroom living space, the estimated discounted price is close to 4 million yuan.

"The gifted Huizhou apartment is a residence with a 70-year property right and an area of ​​about 40 square meters. It is also a Vanke house." According to information from public platforms, the total price of the gifted house may be around 200,000 yuan.

Although the promotional poster shows that the "buy one, get one free" event will end at the end of July.

However, many real estate consultants have stated that you can continue to apply for this discount at a later stage, and there is actually no clear time point when the discount will stop.

Overall, based on the discount level, the actual discount of "buy one get one free" is only 95% off. Although the actual discount is not large, this profit-sharing activity has received a lot of attention in July due to its obvious gimmick.

The "buy one get one free" promotion in the property market is not the first of its kind. Last year, the Shenzhen residential project Fuji Yunlong Mansion also launched a "buy one get one free" marketing campaign. At that time, the project offered that if one bought a house in Yunlong Mansion, one could get part of the down payment for a house in Dongguan or a public housing building in Shenzhen's Dapeng district for free.

This year, Beijing's "China Merchants Brilliant Century" also launched an event whereby if one purchased a two-bedroom apartment of about 77 square meters, one would receive a ready-made house in Yantai, Shandong for free.

The price-for-volume trade is emerging in an endless stream

The "Vanke Zhongtian Century Waterfront" project located in Wanjiang District, Dongguan, has actually become a "net celebrity project" with good sales in Dongguan this year.

According to data provided by Centaline Property, the number of units sold in "Vanke Zhongtian Century Waterfront" in the first half of 2024 reached 226, ranking third in the city. Among them, the 89-square-meter entry-level unit in the project is close to being sold out.

Although the sales volume ranks third in the city, the background of this achievement is that the volume and price of Dongguan's real estate market have fallen since 2024.

In terms of sales volume, according to data provided by Centaline Property, Dongguan's residential transactions in the first half of 2024 were 870,000 square meters, a year-on-year decrease of 44%. The transaction volume fell back to the level of 2003, and compared with the peak period in 2020, the proportion was only about 20%.

In terms of sales prices, Dongguan's new home prices have undergone three waves of adjustments, with a cumulative drop of 30% from the highs.

In Wanjiang District, where the "Vanke Zhongtian Century Waterfront" project mentioned in this article is located, the average price of villas was nearly 30,000 yuan/square meter in June, falling back to the level at the beginning of 2020.

In addition, July is the off-season for real estate sales, and trading price for volume has become the mainstream sales trend. For example, the "Li Ka-shing's 50% off sale" incident that has attracted attention in the early stage corresponds to the "Haiyi Mansions" project.

The certification time for this batch of properties is 2022, and the average registered price is about 25,000 yuan/square meter. An internal group buying activity was launched before, that is, specific properties on specific floors were offered at a preferential price of about 14,000 yuan/square meter, and were also provided with decoration.

According to data provided by Centaline Property Agency, the "50% off sale" policy of the "Haiyi Court" project has achieved good results, with a total of over 90 units sold in early July.

In addition to "buy one get one free" and "50% off house sales", regular special price houses, worker-backed houses and other price-for-volume activities are also emerging in an endless stream. Last week, the "OCT Yunrui Mansion" project launched worker-backed houses at a unit price of 10,000 yuan/square meter. The discount is mainly for some units with a construction area of ​​about 100 square meters in the project. After the transaction, 2 years of management fees and a parking space coupon worth 50,000 yuan will be given. According to statistics, this activity has led to the subscription of more than 20 units.

New home sales decline may slow down

Despite the endless stream of preferential activities, the Dongguan property market is still relatively quiet, with subscriptions for most projects now falling back to April levels. Last week, Dongguan's visits fell 4% month-on-month, while subscriptions rose 10% month-on-month.

There is a clear differentiation between hot and cold markets in the market. Only a few brand projects and price-for-volume projects performed relatively well, while most other projects performed mediocrely.

Dongguan's situation is also representative across the country.

According to data from the China Index Academy, since July (July 1 to 28), the average weekly transaction area in key cities has decreased compared with the weekly average in June, with a year-on-year decrease of about 10%; in terms of second-hand housing, the average weekly transaction volume in key cities has dropped slightly by 3.0% compared with the weekly average in June, and increased by 36.4% year-on-year from a low base, and the second-hand housing market has remained active.

However, some observers also pointed out that the bottom of Dongguan's real estate market may have arrived.

At a recent market summary meeting, Centaline Property Agency pointed out that the amount of new real estate in Dongguan's property market has been adjusted, and both residential supply and demand have hit historical lows, indicating that the market has bottomed out.

"The greatest supply pressure in the market has passed, and housing prices have entered the bottom area. It is expected that the transaction volume in Dongguan's real estate market will increase significantly in the fourth quarter." Che Derui, executive director of Centaline Property Research Institute, said at the meeting.

Chen Wenjing, director of market research at China Index Academy, believes that with the intensification of macro policies, the acceleration of "destocking" work, and the continuous adjustment and optimization of real estate supply and demand policies in various regions in the second half of the year, the second-hand housing market is expected to maintain a high level of activity. As the high base effect weakens, the downward trend in new home sales is expected to slow down, and the year-on-year decline will narrow.

Editor: Chen Lixiang

Proofreading: Zhu Tianting