For developers, this is no longer the paradise where the buyers broke their heads. In 2019, the real estate development investment in Hainan Province decreased by 22.1% year on year, the sales area and sales amount of commercial housing decreased by 42.1% and 38.8% respectively, the average sales price remained around 15000 yuan / m2, and the price was basically stable.
With Hainan determined to get rid of its dependence on real estate, the developers here are looking for a new way to graft free trade port.
Island wide purchase limit for the past two years
During this period, the real estate market in Hainan is on the rise. In the first half of 2016 alone, there were 114 land supplies in Hainan Province, up 30% year-on-year, with a supply area of 4.7177 million square meters, up 42% year-on-year. There were 73671 commercial housing transactions, up 44% year-on-year, with a transaction amount of 60.3 billion yuan, up 26% year-on-year. By contrast, the average transaction price was 9993 yuan / square meter, down 15% year-on-year.
It is believed that Hainans house prices were undervalued at that time, and investors came in an endless stream.
The hot Hainan market also ushered in the island wide purchase restriction. On April 22, 2018, Hainan Province issued a notice to implement global purchase restriction. According to different restricted purchase areas, non provincial household registration households need to provide 24 months cumulative purchase in Hainan Province. Haikou, Sanya and Qionghai require 60 months or more of individual income tax or social insurance payment certificates, and the sales period is still limited.
In 2017, Taihe Guangshen region officially entered the Hainan market. In October, Taihe registered two subsidiaries in Haikou. However, after entering more than one year, Taihe never got the project, and then withdrew from the Hainan market.
Huaxia Xingfu was also entered into Hainan in 2017. In December of that year, Huaxia Xingfu Hainan regional business department also issued a bidding announcement, indicating that its project is located in Danzhou City, Wenchang City, Sanya City and other regions in Hainan Province. However, the project has not been updated since then, and a source told the interface news: Huaxia happiness currently has only one torch incubator project in Hainan.
Longhu group also entered the Hainan market only in 2017, but it did not take three commercial lands until 2019. So far, no residential projects have entered the market.
Longhus waiting really ushered in a certain opportunity. The Haikou times Tianjie project they will build has been successfully selected into the list of key investment projects in Hainan Province in 2020, with a total investment amount of 11.5 billion yuan.
At present, Hainans residential land is scarce, and even real estate enterprises like Longhu are hard to get, a Hainan market person told interface news
The overall cooling of Hainan real estate market is directly reflected in the transaction data. From 2017 to 2019, the sales volume of Hainan real estate market is 271.372 billion yuan, 208329 million yuan and 127.6 billion yuan respectively, with the sales area of 22.9261 million square meters, 14.3225 million square meters and 8.2934 million square meters. To some extent, the data of obvious decline also reflects the determination of Hainans de real estate.
The regional companies set up by some large-scale real estate enterprises in Hainan have also been incorporated into other regions. For these real estate enterprises, as the real estate business sector, Hainans regional position has been weakened.
During the period of purchase restriction, the sales of real estate enterprises in Hainan also fell sharply. In 2018, the total turnover of the top 10 real estate enterprises in the province decreased by 40.46% compared with that in 2017, and the scale of 10 billion yuan was reduced from 6 to 4, with the highest value of 16 billion yuan for country garden, followed by 12.9 billion yuan for Yajule. In 2017, the sales of the top two real estate enterprises in Hainan market exceeded 30 billion yuan.
In the past 2019, similar to 2018, country garden ranked first in the Hainan market, with a sales volume of about 16 billion yuan, rongchuang ranked second, and Yajule ranked third.
After the introduction of the free trade port scheme, many market participants in Hainan told the interface news that they did not think it was good for the property market.
Although the way of talent introduction and the demand for house purchase in the island are still there, the overall housing enterprises in South Shanghai are still in a shrinking situation.
According to the data of Shell Research Institute, from January to April 2020, the total sales volume of commercial housing in Hainan fell 45% year on year.
The real estate companies are following the policy now, not taking so much residential land, instead taking industrial land, and there will be some subsidies. The fields of culture, tourism, logistics and real estate are the focus of the current layout of the real estate companies, the person added
When the real estate market is limited, the diversified business of real estate enterprises can be combined with the construction of free trade port, so as to exchange space in the new track.
In March this year, Shimao Strait, which has been extremely active in the market in the past two years, participated in the cloud signing of Sanyas major projects, and reached in-depth cooperation with Sanya Municipal government, which will establish a wholly-owned subsidiary in Sanya.
In May this year, LV Yi, executive director of Shimao Group, chairman and President of Shimao Strait, and President of Shimao Fusheng, participated in the project implementation discussion of Shimao Jiangdong new area in Haikou. At present, Shimao has formed the pattern of one island, four places and eight plates.
Like Shimao, Renheng and Wanhua, who are very active in the Hainan market, they all bet on Jiangdong new area, Wang Lu, chairman of Hainan Jincheng Real estate consulting and planning Co., Ltd., told interface news.
Hainan itself is famous for its tourism industry, and real estate enterprises have already set up Hainans culture and tourism market.
At that time, overseas Chinese town, Xuhui, Guanlan lake, poly, Evergrande and other well-known domestic real estate enterprises signed contracts with Haikou, Sanya, Lingshui, linggao and other municipal and county governments to invest in the construction and development of characteristic towns.
In this years 105 key projects of Hainan Province, tourism, modern service industry, high-tech and other three leading industries account for 34, with a total investment of 146.1 billion yuan. The real estate enterprises involved include poly, Merchants Shekou, Longhu, CCCC, Joy City, etc., and the projects involved include culture, tourism, commerce, etc.
However, affected by the epidemic, Hainans tourism industry lost a lot this year. During the May Day holiday, Hainan has received 1.3354 million tourists in total, up to 80% of the same period last year, realizing a total tourism revenue of 994 million yuan, up to 52% of the same period last year. Among them, the number of inbound passengers in the province was 244000, up to 82% of the same period last year.
For a long time, real estate enterprises have been implementing the strategy of adding culture, tourism and real estate, focusing on real estate sales, and ignoring culture, tourism and operation. It is not easy to change thinking and improve operation ability. In addition, Shanghai South has drawn a red line for ecological protection, so the requirements for culture, tourism and real estate projects will be higher.
From last year, some cities began to try to adjust the real estate regulation and control policies according to local conditions, mainly to relax, but Hainan has been increasing.
In 2019, Haikou Municipal Peoples government issued a notice to suspend the sale of commercial housing to enterprises, institutions, social organizations and individual industrial and commercial households (except for the approved enterprise talent turnover housing).
On March 7, 2020, Hainan issued a notice to make it clear that the existing housing sales system should be fully implemented. Hainan became the first province in China to introduce this regulation, and also the first province to tighten control during the epidemic. This also shows the determination of Hainans de real estate once again.
Since the beginning of 2020, Hainan Province has sold only a few residential land. In February, Qionghai registered plot 1-1 and plot 2, unit 09, Boao Lecheng International Medical Tourism pilot area, totaling 92.2 mu, of which 64 Mu is for urban residential land. This is the first time this year that Hainan has hung up its homestead.
Of course, while restricting investors, Hainan also lowered the threshold of talent access. In 2019, Hainan released the supplementary notice on further improving the policy of talent purchase, which mainly includes all kinds of talents actually introduced and working in Hainan but not settled down, and the number of years of social security or individual income tax for purchase of housing has been reduced from 2 or 5 years to 1 year.
In April this year, Hainan issued the guiding opinions on the pilot work of the development of residential commercial housing. In principle, the building area of residential commercial housing units shall not exceed 100 square meters, and the housing shall be fully decorated. In principle, the price shall be determined according to the ratio of house price to income of urban residents in the city and county, or no more than 6% of the average sales price of commercial housing in the city and county in the previous year 0%u3002 In addition, it is worth noting that there are quite a lot of military land in Hainan. Before that, Hainan also served as a pilot for the replacement of military land. After the establishment of the new central enterprise China RONGTONG, this part of land will also be used for operation. China RONGTONG established Hainan preparatory group last year. The market will not rise and fall, and the new policy is not for real estate, the Hainan market person told interface news. Wang Zhi, director of the real estate market supervision office of the Department of housing and urban rural development of Hainan Province, also said that Hainan will continue to maintain the continuity and stability of the real estate regulation and control policies, and encourage the development of all kinds of sharing residential products, such as time-sharing holiday, online rental and housing sharing. Source: interface news Author: Fu Linlin editor in charge: Wang Xiaowu_ NF
In April this year, Hainan issued the guiding opinions on the pilot work of the development of residential commercial housing. In principle, the building area of residential commercial housing units shall not exceed 100 square meters, and the housing shall be fully decorated. In principle, the price shall be determined according to the ratio of house price to income of urban residents in the city and county, or no more than 6% of the average sales price of commercial housing in the city and county in the previous year 0%u3002
Wang Zhi, director of the real estate market supervision office of the Department of housing and urban rural development of Hainan Province, also said that Hainan will continue to maintain the continuity and stability of the real estate regulation and control policies, and encourage the development of all kinds of sharing residential products, such as time-sharing holiday, online rental and housing sharing.