Discover and read the best of Twitter Threads about #realestates
Most recents (2)
Suggestions on #China’s #macroeconomic development in the next step:
1. Defuse #risks in the #financial system. The key is to defuse the implicit #debt of local #governments, which requires fiscal support.
1. Defuse #risks in the #financial system. The key is to defuse the implicit #debt of local #governments, which requires fiscal support.
2. Increase #infrastructure #investment projects in megalopolis and ease approval procedures for them.
3. Use proper #monetarypolicy to ensure adequate #market #liquidity and ensure reasonable growth of broad #credit.
3. Use proper #monetarypolicy to ensure adequate #market #liquidity and ensure reasonable growth of broad #credit.
4. Develop financial instruments such as equity-based REITs, develop individual pension accounts, promote supply-side financial reform.
5. Increase residential land supplies in cities with #population inflow; relax control on #realestates.
By Zhang B.:
mp.weixin.qq.com/s/fsn6JwmziNQJ…
5. Increase residential land supplies in cities with #population inflow; relax control on #realestates.
By Zhang B.:
mp.weixin.qq.com/s/fsn6JwmziNQJ…
The deep-seated reasons for the whopping #house #price in #China are the overdependence of local #government on #realestate #income and lack of effective supply of public affordable housing.
1. #government takes 60-70% of developers' sales proceeds annually by land sales and taxes. Land transfer fees directly contribute to 90% of local government fund revenue,while #taxes and fees related to #realestates (especially land #VAT) account for 20%+ of local tax revenue.
2.This will push up #land prices and result in undersupply of #land. This leads to long-term #supply-#demand imbalance, since cities with more #population inflow see more serious undersupply and higher land prices.
