房地产：10月销售同比降幅大幅缩窄

Investment Rating - The industry is rated as "Strongly Outperforming the Market" [6][11] Core Viewpoints - The report indicates that the real estate industry is expected to experience a recovery process from liquidity constraints to price stabilization and ultimately a cyclical recovery [6] - The sales area and sales amount of new commercial housing have shown a narrowing decline, with a year-on-year decrease of 15.8% and 20.9% respectively for the first ten months of 2024, which is an improvement compared to previous periods [2][3] - The report highlights that the decline in construction completion has narrowed while the decline in new starts has expanded, suggesting a potential passive destocking in the market [3] Summary by Sections Real Estate Development Investment - Cumulative real estate development investment from January to October 2024 reached 86,309 billion, a year-on-year decrease of 10.3%, with a monthly investment of 7,629 billion in October, reflecting a month-on-month decrease of 18.8% and a year-on-year decrease of 12.3% [2][3] Sales Performance - The total sales area of new commercial housing for the first ten months was 77,930 million square meters, with a sales amount of 76,855 billion, both showing a year-on-year decline of 15.8% and 20.9% respectively, but the decline has narrowed compared to previous months [2][3] Construction and Completion - The total construction area from January to October was 7.207 billion square meters, with a year-on-year decline of 12.4%. The cumulative new starts were 612 million square meters, down 22.6% year-on-year, while the completion area was 420 million square meters, down 23.9% year-on-year [3] Funding Sources - The total amount of funds in place for real estate development from January to October was 87,235 billion, a year-on-year decrease of 19.2%, with domestic loans and self-raised funds also showing declines [5][6] Investment Recommendations - The report suggests focusing on three main lines: distressed real estate companies showing signs of recovery, leading companies maintaining land acquisition intensity, and local state-owned enterprises with stable diversified operations [6]