Cao Dewang talks about real estate again, is real estate still worth investing?

As we all know, the glass king Cao Dewang.

He also has his own insights into industrial investment, especially his concept is to hope that industry can save the country, so he advocates a virtual economy.

The Internet economy is also often angrily denounced, after all, he believes that any innovation that is not based on industry is a castle in the air, such as finance, real estate, and so on.

Recently, Fuyao Group.

Cao Dewang, chairman of the board of directors, mentioned his views on the current domestic real estate at this year's China Automobile Blue Book Forum, which also attracted great attention from the outside world.

Cao Dewang mentioned that doing real estate as a layman is harming others and himself, and it is necessary to let people who will engage in related industries, rather than chasing interests and causing them to owe a lot of debts in real estate, and they should be allowed to engage in real estate, such as Li Ka-shing.

In the same way, letting people who don't know how to come into contact with them is ultimately harming others and themselves.

In fact, Cao Dewang has mentioned some admonitions to China's real estate economy more than once in relevant public occasions, he once said in an interview that China lacked the need to build a large number of houses in the past, and now there is no shortage of houses and still building a lot of buildings, in fact, to put it bluntly, many real estate developers do not hesitate to borrow money to build houses in order to chase more economic dividends, especially many banks have been implementing a relatively loose monetary policy in order to be able to lend to real estate companies. Therefore, it has also led to many real estate developers taking bank loans.

to invest in real estate, so the whole market atmosphere has formed a trend of hoarding and speculation, which eventually leads to the long-term high debt ratio of many real estate companies.

Nowadays, China's real estate development market has been in a state of surplus, coupled with the impact of the epidemic in the past two years, many people have to suspend their plans to buy houses, and even many owners who hold houses have to choose to sell their properties in order to recoup funds.

Entrepreneur Cao Dewang talked about real estate again, saying that investing in real estate needs opportunities. From his conversation, we can see that entrepreneurs are pessimistic about real estate, and the scale of the real estate industry has basically reached its peak. Since 2021, the real estate industry has seen declining earnings and declining profit margins.

At present, it seems that real estate is better not to invest lightly.

First, industry insiders are pessimistic about the real estate industry

In addition to Cao Dewang, many real estate industry bigwigs are also very pessimistic about the current real estate industry, and investing in real estate requires opportunities and great courage. Today's real estate companies can no longer borrow new debts to repay old debts as in the past, and many real estate companies have long faced a serious debt crisis. Cao Dewang also expressed his attitude towards this phenomenon, believing that those who do not know how to do real estate owe huge debts, which is harming others and themselves.

Small and medium-sized real estate companies are facing tremendous pressure and have no choice but to reduce prices to sell their properties. With the introduction of a series of policies in the real estate industry, owners are also worried about whether real estate companies can withstand the pressure and deliver their houses smoothly, and many homeowners' confidence in real estate developers is also declining.

Second, real estate income continues to decline

Real estate income has been declining for a long time, which means that the real estate industry can get less and less of the cake. Many entrepreneurs have long seen this fact, from 5% of the net profit in previous years to less than 10%, and even some real estate companies are still in a state of negative profit growth. It also shows that the scale of the real estate industry has basically reached its peak, except for some special years, the scale of the industry is getting smaller and smaller.

Housing prices have been soaring in the past few years, and the rate of increase has long exceeded the wage growth rate of the vast majority of people, and many people have a wait-and-see attitude towards buying a house.

All in all, the real estate industry is now facing the burden of small and medium-sized enterprises (SMEs) and gradually withdrawing from the real estate market. The rest of the real estate companies are also restructuring and merging in an attempt to survive the debt crisis, and it is not recommended to invest in the real estate market at this time.

The real estate industry is not worth investing in at the moment, because the real estate industry has been hit by the epidemic, resulting in very serious losses.

Now the state has introduced a series of measures to support the development of real estate, if people who really have housing needs can buy a house, but it is not suitable for investment in speculation.

I believe that many people have paid attention to Cao Dewang during this period of time, and it is recommended that ordinary people sell their houses as soon as possible.

Of course, it is these merchants and real estate developers who are preventing the price of the house, after all, the loss of the house price to these merchants is relatively large.

The main reason is that the people's concept is preventing housing prices**, and people's dependence on housing is too strong, so it has led to high housing prices.

Cao DewangMr. believes that in the future, the house will be made of steel and concrete, which is worthless, and if we continue to develop the real estate market according to such steps, we will eventually usher in a decline in the market.

The house has an extraordinary meaning for every cheater, ordinary workers may not be able to touch a house of their own in their lifetime, but for those at the top of society, there are many or even countless houses in their hands. Real estate industry.

The future development must closely follow the market economy.

Because of the market economy and the relationship between supply and demand, the real estate industry will enter a cold winter, everyone should be more rational before investing in life, whether it is investing in a house or investing in other projects.

How did it happen?

On July 7, 2022, 76-year-old Fuyao Group.

Chairman Cao Dewang. Expressing his views at the 14th China Automobile Blue Book Forum, Cao Dewang claimed that the house in the future is reinforced concrete, which is not worth mentioning at all, and should not even hold the house high, the real economy.

The core competitiveness is strong. However, when this point of view was put forward, it was met with Ma Guangyuan, an expert who was suspected of being rented.

It is not difficult to see that housing prices are gradually **, of course, other leading enterprises have also had negative growth, in fact, this has a certain relationship with the market economy.

What does the future hold for the real estate industry?

The era of the real estate industry has passed, and there will be a significant decline in the house in the next 5 years, for the rich who hold many or even countless houses in their hands, it is very likely that the economy will shrink sharply in the near future because of the downturn in the market. Once the demand for real estate speculation exits, the demand in the real estate market will gradually shrink.

What is my personal opinion?

I think it is very normal for ordinary people to buy a house to meet their daily needs, and one thing in the near future in order to better control the real estate market, there will be relevant policies. Whether it's a control tax or a real estate tax.

will increase the cost of owning a large number of homes, and when investors' profits bottom, it will cause more and more investors to exit the market.

Cao Dewang said that real estate should still have some professional people to do, not to have a screed to do it without knowing how to shout, otherwise it will only lead to the development of real estate getting worse and worse, and it will also lead to worse and worse reputation, which will lead to worse and worse development. The future trend of the real estate industry is still relatively good, as long as the epidemic can be controlled, then real estate can be reborn.

He said that people who understand this industry should be allowed to do Douyu, and they should imitate Li Ka-shing, otherwise it will only make the industry worse and worse. The real estate industry will be hit by the epidemic, will also be affected by the epidemic, will be affected by the epidemic, and if the epidemic can be controlled, then the real estate industry will be able to recover.

He said that real estate should be done by people who can do it, and if they can't do it, don't do it, it will harm others and themselves, and the future development prospects of the real estate industry are not particularly good.

Seeing the real estate industry, I believe many people are very concerned, after all, in the past few decades, the real estate industry.

It has planted a very big impression in everyone's hearts, and since the implementation of the commercial housing reform in 1988, the real estate industry has become the pillar of our economy, and the economic development of many cities is basically supported by real estate.

At the beginning, it was mainly reflected in business tycoons, such as Li Ka-shing in 2014.

withdrew from real estate, followed by Wang Jianlin.

Withdrew from the real estate industry of Fang Xiangjian, and then many state-owned enterprises were required to withdraw from the real estate industry, which is the so-called check-out order, and then there were problems with some well-known real estate companies last year, and these problems have not changed this year.

For example, some time ago, the very famous entrepreneur Cao Dewang.

I advise you not to buy a house at this time, because the value of the house may not exist in the future, which is the so-called worthless, in fact, the situation that the entrepreneur said was also said by an entrepreneur a few years ago, and the entrepreneur is Ma Yun.

He once said that in the future, housing prices will be as cheap as green onions.

Now the situation is not more than 10 years ago, is a little common sense to see the situation, the author has a friend is doing real estate development projects, as early as 5 years ago began to shrink the real estate chain of funds also has problems with the transformation of other projects, if the author's example is not obvious enough, we can take some real data to speak.

The first set of data is that in April and May this year, more than half of China's 70 large and medium-sized cities saw new home sales** decline for the first time since 2016, and new home transactions fell by nearly 60%. The second set of data we can look at the above chart, that is, the average decline in transaction amount, the highest decline, the highest decline in Changchun, after seeing this set of data, the author thinks this is too scary, I don't know if you dare to buy a house.

Finally, it is to talk about the problem of the house, in fact, it is very simple, I think this may be relatively large, the economic strength of the group to buy a better location and higher quality of commercial housing, this kind of housing only in the circulation of a certain economic strength group ** also has support to slowly stabilize, poor economic strength can buy apartment housing ** is relatively low, but also to meet the needs of living, this and buy a car a reason, there is money to drive a luxury car, there is no money and second-hand cheap, everyone has a car to drive, so everyone should wake up.

If you don't just need a house, you don't have to dry up to know that you want to buy a house, and now the real estate market is in a state of **, and the bubble is too strict, and it is not a good investment.

I think Ruhuitan is very correct, now the world Xijia must not buy a house, because the current economic pressure is very large, this scum Tong day is more serious, it is difficult to repay the mortgage if you buy a house.

I don't think so, I think if you just need it, you should take advantage of this time to buy a house, the down payment is lowered, and the interest rate of the bank is reduced, which is a good time to buy a house.

Cao Dewang believes that the future of real estate is reinforced concrete, and there is no high commercial value, and the real economy should be vigorously developed, which is the route of sustainable development. China's current real estate market has seen a large number of people, developers have been unable to borrow from banks, and the sales of second-hand houses are also not optimistic. Real estate signals are already telling us that the era of real estate is over and that real estate taxes will soon be upon us.

Real estate**. Over the past decade, real estate has played a key role in China's economic growth. After entering 2022, there has been a ** situation in real estate.

Many real estate companies have also begun to reduce ** or reduce the down payment method to withdraw funds. The direct cause of real estate price reductions is the reduction of supply and demand, and people's lack of confidence in buying property. In addition, China's land transaction volume has also dropped by 50%, which also reflects the same lack of confidence in the real estate industry of real estate companies.

At present, the real estate market is basically saturated nationwide, and 96% of families have at least one property, and real estate has changed from a rigid necessity to a stock product. Everyone has their own property, all the wealth is set in real estate, once a financial risk occurs, real estate will not become a lifesaver, the future real estate may become their own negative equity. All the best ways to do cavity resistance are to keep only residential properties.

The recovery of the entity through Wu Mu Ji. The shrinkage of real estate is a must for the economic and social development of this country, and it is also the inevitable transformation of developing countries into developed countries. A large amount of money hoarded in real estate will seriously hinder the development of the real economy and science and technology.

People can't use their money to invest in startups, and money can't flow through financial markets and physical markets. Once the real estate tends to be high, the crisis of the real economy and the financial system comes, and once the real estate bubble bursts, many investors will lose their money. At this time, the contraction of real estate also indicates that technology companies and real enterprises will usher in new opportunities.