Taiyuan City, Shanxi Province recently held a land auction to take out eight gold plots in the hot spot of the city for auction. The total area is about 827,100 square meters, and the starting price is 13.082 billion yuan. This is undoubtedly a "big hand" of land auctions in big cities in China recently. It is called a "spoken level" by the local media in Taiyuan. The result was disappointing. All the eight plots were auctioned, and none of the six plots were registered by one developer. The other two sites were also unable to reach a deal due to the disparity between the developer's bid and the starting price.
The situation in Taiyuan is not a case. According to statistics, from January to July this year, there were 13 land flow standards in first-tier cities in China; 154 operational land in total in second-tier cities; and 629 total operating land in third- and fourth-tier cities. In just over half a year, there were nearly 800 land plots in the country.
Even in Shanghai, where housing companies are competing, for the first time, there have been scenes of downtown homesteads. In the new first-tier city of Suzhou, there have also been many high-quality homesteads. More and more urban land auctions have sent a clear signal to the market. Under the strict real estate control measures, the land auctions for many years have begun to become cold.
The land auction system that has been implemented in the real estate market for many years is intended to establish a fairer and more reasonable mechanism for land supply. However, in order to obtain more funds, some local governments have set the starting price too high and cooperated with the developers. Land prices, and often in some areas, create a astounding "land king."
When local prices continue to innovate, house prices can only create higher records, resulting in housing prices in many cities far beyond the purchasing power of ordinary people, and an obstructive effect on local social and economic development. An important reason why house prices can't fall down is that land prices are still high, driving house prices to keep rising.
The regulation of the real estate market, which has been promoted for many years, is changing the deformed ecology of China's real estate market. The central government has made it clear that China's real estate market must adhere to the principle of “staying and not speculating” and curb the excessive rise in housing prices. At the same time, we must vigorously promote the construction of affordable housing and rental housing markets. To achieve this goal, it is necessary to increase the supply of land to the market. Recently, the frequent occurrence of land flow in various places is obviously not in this direction.
Land flow shots, a very obvious reason is that developers have received signals from the market, market rationality makes them dare not spend billions of money in land auctions, but from the current situation, some local governments obviously have not Capturing this market signal, still indulging in the grand scene of “snap, golden and 20,000”, the land supply to the real estate market, the main purpose is not to provide housing security to the people, but to hope to draw more money, Let the land continue to be the main support of local finances, so that it would rather not take the initiative to lower the land price.
In fact, such an era is gone forever. Whether it is from the market side or from the direction of central government policy regulation. The Central Political Bureau meeting held on July 31 clearly stated that it is necessary to resolve to solve the problem of the real estate market and resolutely curb the rise in housing prices. The attitude of the central government to curb rising housing prices is clear, and local governments should have a clear understanding of this.
In this way, land finance has not been far away. Local governments should resolutely bid farewell to the land finance system. On the one hand, they should actively expand land supply, rationally set land prices, meet the multi-level housing needs of the housing market, and curb housing prices by increasing supply. On the other hand, we should step up reforms, foster new economic growth engines, and create conditions to get rid of land finance.