People in the real estate industry are familiar with the "5983 model", that is, the project starts in May after land acquisition, opens for sale in 9 months, the first phase of sales is 80% completed, and the project is completed in 3 years. Such operational efficiency means that the profit margin of housing enterprises from high turnover has reached the extreme. With the increase of land price and the policy restriction of sales end, the decline of industry profit rate is a foregone conclusion.

In this context, how to improve the profit rate of housing enterprises, that is, the entire industrial chain of real estate finance.

How?

Profit from the industrial chain, from the simple real estate development management in the past, to land acquisition, industrial introduction and many other links, profit from every link. The era of high profit rate in real estate development has ended, and the secret of enterprises' continued survival is to expand the industrial chain and profit from all links; Real estate+finance will become a new form of high-end real estate industry in the future.

Drawing lessons from the operation mode of American real estate funds, the owners of most schools and nursing homes in the United States are neither individual bosses nor a real estate developer, but real estate funds, and the real holders of real estate funds are institutional investors who open accounts, trade and buy stocks in American stock exchanges. If we learn from this method in China, domestic real estate funds can also set up funds and issue them on the Shanghai Stock Exchange and Shenzhen Stock Exchange, and use the raised funds to invest in schools and hospitals to improve infrastructure construction.

This is the so-called real estate+financial model.

For reference.