According to the website of the Securities Times, the real estate sector rose in intraday trading on the 22nd. As of press release, DOBE Group had risen by more than 17%, which was once the intraday limit; Tiandiyuan, Chongqing Development, I Love My Home, New Hualian, etc. rose by the ceiling, the special development service rose by more than 9%, and Vanke A rose by nearly 5%. It is worth noting that, in the past 7 trading days, the total price of the two boards, namely Chongqing Development and New Hualian, has risen by more than 70%.

On the news side, in order to implement the decisions and arrangements of the Party Central Committee and the State Council, actively play the role of housing provident fund, and better meet the housing needs of residents, the Ministry of Housing and Urban Rural Development actively pushed to reduce the personal housing loan interest rate of housing provident fund, and further reduce the burden of loan repayment of depositors. Recently, the General Office of the Ministry of Housing and Urban Rural Development issued a notice requiring local housing provident fund management centers to do a good job in lowering the interest rate of housing provident fund personal housing loans.

The notice requires that the urban housing provident fund management center should be guided to adjust the interest rate of individual housing loans of housing provident fund in a timely manner. According to the requirements of the Notice of the People's Bank of China on Lowering the Interest Rate of Personal Housing Provident Fund Loan, the interest rate of personal housing provident fund loan will be lowered by 0.25 percentage points from May 18, 2024, and the interest rate of the first personal housing provident fund loan of less than five years (including five years) and more than five years will be adjusted to 2.35% and 2.85% respectively, and the interest rate of the first personal housing provident fund loan of less than five years (including five years) The loan interest rate of the second set of personal housing provident fund and the second set of personal housing provident fund for more than five years are adjusted to not less than 2.775% and 3.325% respectively.

Wanlian Securities pointed out that with the continuous adjustment of the real estate industry, the policy strength was significantly strengthened. This time, the demand side policy was launched with three arrows, and the strength was slightly higher than expected; On the supply side, the support for building guarantee and real estate enterprise financing has been steadily promoted; In terms of inventory reduction, the specific arrangements for government storage were clarified. At the policy level, support was given to the real estate industry from multiple dimensions to help the industry build a bottom and stabilize. In the future, attention should be paid to the trade volume and housing prices of the industry. Under the policy promotion, it is suggested to pay attention to the β market of the real estate industry chain, and further strengthen the lower end of the completion sector, benefiting from the delivery guarantee policy.

China Post Securities said that the continuous decline of real estate in the early stage was mainly due to the consensus pessimistic expectation that there was almost no difference in the market view of real estate. Since the 430 Conference, the policy has continued to increase, and some policies have been more relaxed than previous cycles, demonstrating the resolve to rescue the real estate industry, which has a significant role in boosting market sentiment. The Shenwan Real Estate Index has increased by 28% from the bottom rebound range, The policy observation period will follow in the short term. At present, there are differences in the discussion of real estate expectations and their impact on the fundamentals. Only when there are differences can there be opportunities. The policy has a certain role in stimulating the fundamentals in the short term, and from the perspective of the first two rounds of real estate market, the policy market is indeed ahead of the fundamental market. In addition, if the policy effect does not meet the expectations, it is still not at the end of the policy, and there will still be policy expectations before the Third Plenary Session of the CPC Central Committee in July. Under the effect of the policy stimulus, industry repair is also a high probability event.