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"price guarantee" implemented in wenzhou helps the property market develop steadily and healthily

2024-09-23

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bao zhoufeng, correspondent of chao news client
recently, several projects under the central enterprise poly development announced "price guarantee" plans. for example, the "poly tianjun" project of poly in wenzhou announced that "if the discount of similar houses (only residential houses) in the tianjun project is lower than the buyer's current discount (compared with the registered price) in the later online signing, or there are any disguised discounts such as additional property fees, parking spaces, home decoration packages, etc., the buyer can return the house without reason (excluding interest on the house price)". similar promises are also being promoted simultaneously in some projects of poly guangdong and poly sichuan.
launched a "price guarantee" plan to boost confidence and stabilize the property market
for some time, some real estate developers have directly or indirectly cut prices in order to realize capital repatriation in a short period of time, which has led to an intensified wait-and-see attitude among homebuyers, shaken the confidence in the real estate market, and affected the stable and healthy development of the local real estate market. many potential homebuyers said that as homebuyers, they don’t know whether the current housing prices will fall, and everyone is afraid of being "halfway up the mountain".
how to boost the confidence of homebuyers? the central enterprise poly development launched a "price guarantee" plan to give the property market a "reassurance pill", which has a positive demonstration effect on stabilizing property prices and boosting homebuying confidence in some local areas.
professor pan anping of the real estate research institute of wenzhou university approved of the price guarantee plan of wenzhou poly tianjun. he believes that there are many things that need to be done in the current wenzhou real estate market, but the core of all the work is to restore the confidence of all market participants, including confidence in real estate, confidence in land acquisition, confidence in financing, and confidence in innovation. if a marketing measure such as "price guarantee" is adopted to provide a "heart booster" to home buyers in the form of a promise, it will not only boost market confidence, but also have a positive effect on easing the pressure of project sales and destocking. he said that the wenzhou real estate market is mainly determined by investment expectations. a balance between thresholds and costs on the consumer side, stabilizing the confidence of home buyers, and creating high-quality real estate projects to protect the interests of buyers can enhance market confidence and achieve a win-win situation for all parties.
behind the "price guarantee" plan, what is being tested is the strength and responsibility of real estate developers
it is easy to shout the slogan of "price guarantee", but it is difficult to actually implement it.
mr. gao yuansheng, deputy general manager of the east china region of china real estate index research institute, believes that the current real estate market prices are still on a downward trend. according to the survey of residents' willingness to purchase property by china index research institute, "prices continue to fall" has become one of the top three important reasons for buyers to postpone their purchases. poly's move is to give current buyers a certain market confidence through a certain price guarantee mechanism to hedge against the losses caused by further declines in housing prices in the future. however, in the current real estate market, not all real estate developers have the strength to fulfill their promises. buyers need to fully understand the relevant terms and costs of developers' unconditional withdrawal of purchases and make rational decisions on property purchases.
professor pan anping also expressed the same concern: the key lies in whether the current price is reasonable and whether it conforms to market rules. especially when the supply and demand relationship is greatly reversed, if the prices launched by real estate developers are artificially high and the market does not approve, then they will not be able to maintain the price.
the correspondent found that the reason why poly development dared to launch the "price guarantee" plan under the current real estate situation is that it has its own strength and confidence. first, it is financially sound. as one of the few real estate companies with double growth, poly development has maintained a steady increase in revenue and profit, and has continued to maintain a comprehensive green file in terms of financial security; second, its performance has continued to dominate the national rankings for many years. from january to august this year alone, poly development ranked first in the country with a sales amount of 220.8 billion yuan and a sales area of ​​12.912 million square meters, and has been at the forefront of the real estate industry for fifteen consecutive years.
in addition, we found that most of the projects for which poly development implemented the "price preservation" plan this time are high-end projects in the core areas of the city. overall, the scarcity of these projects determines that their "value preservation" attributes are relatively high.
while many real estate projects in cities are still struggling with unsold properties, the "price guarantee" plan for some projects under poly development has given both local governments and buyers a sense of refreshment. however, in order for the "price guarantee" plan to truly achieve comprehensive value preservation for real estate projects, more powerful real estate companies are needed to make every product with care.
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