Slogan of lowering house prices

Many places have set the maximum decline in house prices and will lower them. Due to the crazy decline in land prices in many parts of the country, the cost of housing construction has been greatly reduced. Originally, a piece of land could be sold for 1 100 million yuan, but now it can be sold for 70 million yuan. We should know that the biggest cost of building a house in a city is not the cost of building a house, but the cost of land.

As the cost of land goes down, the purchase price of land goes down, so will the price of the house, because there is not only one real estate agent in China. There are some big ones and some small ones. When the land price drops, its house price will also drop, but if the house price drops too much, the economy will be destroyed. To put it bluntly, there are many third-tier cities and even second-tier cities, as well as some small counties. A considerable part of its GDP growth depends on the real estate industry supported by real estate enterprises. When the declining housing prices drop rapidly, the economies of these places will decline rapidly.

In order to avoid economic recession, stabilize social employment, and create a better house for economic growth, the price must be kept at a certain level, so the limit of the decline rate is set. If it's really as easy as everyone thinks, that is to say, the original house price is 20 thousand, and now it's directly reduced to 1 10 thousand. Isn't this a good thing for everyone? It's cheaper for everyone to buy a house, but isn't the local economy gone? How much output value can you create by selling a house? Now that the price has fallen by half, the economy can't go up.

The real estate market has an obvious pulling effect on the economy. This market also gave a certain upper limit when the house price soared before, and now it also gave a certain lower limit when it fell. Just to keep its price from fluctuating violently for a long time, it can go up or down, but not too violently, otherwise the local economy will be unbearable.