"Buy one set and buy two sets, buy two sets and buy three sets, buy three sets and buy four sets." On August 16, a county party committee secretary in Shimen County, Hunan Province encouraged leaders to take the lead in buying houses at a real estate exhibition and trade fair. His speech went viral.

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The video showed that the secretary of the county party committee made an impassioned speech, and a cadre behind him pursed his lower lip. At the end of his speech, warm applause came from the venue.

According to information from Shimen Media, this real estate exhibition and trade fair has 19 real estate development companies and 21 real estate projects participating in the exhibition, with more than 10,000 houses covering 980,000 square meters. The entire event will last for three days.

Coincidentally, on the same day, an initiative in Si County, Suzhou City, Anhui Province once again attracted market attention.

According to the "Proposal on the Prosperity of the Real Estate Industry" issued by the official WeChat account of "Si County Release", the first is to encourage real estate companies to take responsibility and respond to market changes; the second is to encourage public officials to purchase houses and participate in house purchase activities; third,

This is to remind the majority of home buyers to seize the opportunity and reasonably adjust their home purchase needs.

House prices are not high but the market is not good. Looking at the statistics bureau data of the two places, we can see that the fiscal revenue of the two places did not exceed 1 billion yuan in the first half of the year. For the whole year, there is a high probability that it will not reach the level of the same period last year.

According to data from the Shimen Bureau of Statistics, fiscal revenue in the first half of 2022 was 934 million yuan, 2021 for the whole year was 2.002 billion yuan, and 2020 was 1.859 billion yuan.

According to data from the Si County Statistics Bureau, fiscal revenue in the first half of 2022 was 963 million yuan, in 2021 it was 2.091 billion yuan, and in 2020 it was 2.01 billion yuan.

The real estate market is not optimistic either.

According to data from the Shimen Bureau of Statistics, the area of ??commercial housing sold in the county fell by 9.6% in the first half of the year, and the area of ??new real estate construction dropped by 47.6%. The real estate market is greatly affected by factors such as land and financial credit. Combined with the overall market conditions, the real estate market size is expected to show a

downward trend.

Last year, the real estate situation in Shimen was still growing. In 2021, the completed residential area of ??Shimen was 350,000 square meters, an increase of 174%.

A similar phenomenon also exists in Si County. In the first half of this year, Si County did not announce the specific values ??of real estate and fixed asset investment. However, judging from the county's situation last year, the performance was pretty good.

In 2021, there were 63 real estate development companies in Si County, a year-on-year increase of 14.5%; real estate investment increased by 33.2% year-on-year; the housing construction area was 6.3737 million square meters, a year-on-year increase of 21.3%; the newly started construction area was 2.4693 million square meters, a year-on-year increase of 48.8%;

The sales area of ??commercial housing was 1.7014 million square meters, a year-on-year increase of 13.7%.

It is worth mentioning that housing prices in both places are not too expensive. The total price of a house with 3 bedrooms and 2 living rooms per 100 square meters usually ranges from 400,000 to 600,000 yuan.

According to Anjuke data, the average price of second-hand houses in Shimen County in August was 5,520 yuan/square meter. A house with 3 bedrooms and 2 living rooms of 110 square meters had a total price of about 438,000 yuan; the average price of second-hand houses in Si County in August was

5559 yuan/square meter, a house with 3 bedrooms and 2 living rooms of 107.4 square meters, the total price is about 660,000 yuan.

It is "not worth advocating" to advocate that public officials and cadres buy houses. Is there a corresponding incentive mechanism?

What impact will it have on the market?

On the morning of August 17, Li Yujia, chief researcher of the Housing Policy Research Center of the Guangdong Provincial Institute of Urban Planning, told the Daily Economic News reporter via WeChat that in fact, in addition to Shimen and Si County, some regions such as Qingdao and Guangzhou had previously encouraged enterprises to cooperate with

Group buying is connected, and some local governments even go out in person to promote and encourage home buying.

"Although the purpose of some leaders may be to maintain the stability of the local real estate market, the various publicity and encouragement policies are essentially interference with market rules and are not worthy of promotion." In Li Yujia's view, encouraging house buying alone cannot achieve stability.

The role of the market: For some third- and fourth-tier cities with population outflow, they generally face problems such as population outflow, aging, weak purchasing power, and few jobs provided by new industries. However, those government institutions, state-owned enterprises, hospitals, schools, etc. are relatively stable.

Most of the staff in the unit have already bought a house, maybe even multiple houses. It is also very stressful for them to buy another house.

“As public opinion ferments, the above-mentioned behavior may be stopped by superiors. However, this also reflects the current difficulties of some third- and fourth-tier cities, including issues in finance, land, taxation, finance and other fields, which require attention.

"Li Yujia said.

Ai Zhenqiang, chief researcher of Mingyuan Real Estate Research Institute, also expressed similar views in an interview with a reporter from the Daily Economic News via WeChat on the afternoon of August 17, “More and more places are joining the ranks of advocating house buying, reflecting the current situation in some small and medium-sized cities.

Financial difficulties, economic downward pressure is greater." Ai Zhenqiang mentioned that the sources of general urban fiscal revenue are mainly concentrated in three parts. First, general public budget revenue, of which taxation is the main part; second, government revenue.

Fund budget revenue is mainly land transfer fees; third, operating revenue from state-owned capital.

"Many third- and fourth-tier cities have declined to varying degrees in the above-mentioned major aspects." Ai Zhenqiang said that on the one hand, some small and medium-sized enterprises have a weak industrial foundation and a net outflow of population.