Core Viewpoint - The real estate market is expected to continue a weak recovery trend in May, with a focus on quality over quantity in project launches, particularly in cities like Guangzhou and Chengdu, which may lead to localized market improvements [1][21]. Market Performance - In April, the average project de-stocking rate in 30 key cities was 38%, a decrease of 6 percentage points month-on-month but an increase of 13 percentage points year-on-year, maintaining a high level for 2023 [3][4]. - The overall market heat in April showed a slight decline compared to March, but year-on-year comparisons remained positive, indicating a stabilization in the market [4][21]. - Cities like Chengdu, Changsha, Zhengzhou, Hangzhou, and Tianjin saw de-stocking rates exceeding 60%, primarily due to the introduction of quality improvement projects [4][21]. Project Characteristics - New regulations and high-efficiency projects are gaining popularity, with cities experiencing stable growth in de-stocking rates attributed to the launch of core area improvement projects [8][9]. - In Guangzhou, 13 new regulation products accounted for 60% of the market, with a notable project, Poly Tianyi, achieving a 37% de-stocking rate upon its launch [8]. - In Zhengzhou, two new projects significantly outperformed traditional offerings, indicating a strong demand for high-quality housing even in a sluggish market [9]. Supporting Factors - Quality infrastructure, particularly in transportation and education, is crucial for attracting buyers, with projects near transit lines and reputable schools performing well [10][13]. - The trend of "price for volume" is evident in second-tier cities like Chengdu and Chongqing, where discounts and enhanced commission structures have led to improved sales performance during the May Day holiday [15][18]. Future Outlook - The market is anticipated to maintain a weak recovery trend in May, with a focus on quality project launches potentially driving localized improvements [21]. - Major cities like Beijing, Shanghai, and Hangzhou may see sustained market heat if suitable high-quality projects are introduced, while cities like Wuhan and Tianjin are expected to stabilize after previous adjustments [21]. - However, weaker second-tier cities such as Fuzhou, Nanning, and Kunming face challenges with high inventory levels, making overall de-stocking prospects less optimistic [21].

Core Viewpoint - The real estate market showed signs of stabilization in Q1 2025, with a potential continuation of weak recovery in Q2, particularly in hot cities [1][3]. Group 1: Market Overview - In Q1 2025, the overall real estate market stabilized, with total transaction area for new and second-hand homes reaching 82.04 million square meters, a year-on-year increase of 17% [3][5]. - New home transactions in 115 key cities remained flat compared to last year, with a total area of 51.31 million square meters [5]. - First-tier cities outperformed second and third-tier cities, with first-tier cities showing a 26% year-on-year increase, while third and fourth-tier cities experienced an 8% decline [5][7]. Group 2: City-Specific Trends - Hot cities like Beijing, Shanghai, Hangzhou, and Chengdu saw stronger recovery in second-hand home markets compared to new homes [7]. - Cities such as Guangzhou, Tianjin, and Wuhan showed signs of weak recovery, with transaction levels returning to last year's figures [9]. - In contrast, cities like Hefei and Nanjing displayed insufficient growth momentum, with declining customer conversion rates [16][19]. Group 3: Product and Market Dynamics - Strong product offerings, particularly new regulations for high-efficiency housing, have driven market interest, with new products achieving high sales rates [22][23]. - Well-developed infrastructure, such as transit-oriented developments and school districts, has become a key selling point for properties [27]. - Discounted pricing and strong marketing strategies for entry-level homes have contributed to increased sales volume [30]. Group 4: Future Outlook - The market is expected to continue its weak recovery trend into Q2 2025, with new home quality upgrades attracting second-hand home buyers [31][32]. - The average sales price of second-hand homes in core cities has increased, indicating a warming market that extends to first-time buyers [31].

Core Viewpoint - The real estate market showed signs of stabilization in Q1 2025, with a potential continuation of weak recovery in Q2, particularly in hot cities [1][3]. Group 1: Market Overview - In Q1 2025, the overall real estate market stabilized, with total transaction area for new and second-hand homes reaching 82.04 million square meters, a year-on-year increase of 17% [3][5]. - New home transactions in 115 key cities remained flat compared to last year, with a total area of 51.31 million square meters [5]. - First-tier cities outperformed second and third-tier cities, with first-tier cities showing a year-on-year increase of 26%, while third and fourth-tier cities experienced a decline of 8% [5][7]. Group 2: City-Specific Trends - Hot cities like Beijing, Shanghai, Hangzhou, and Chengdu saw stronger recovery in second-hand home transactions compared to new homes [7]. - Cities such as Guangzhou, Tianjin, and Wuhan showed signs of weak recovery, with transaction levels returning to last year's figures [9]. - In contrast, cities like Hefei and Nanjing exhibited insufficient growth momentum, with declining customer conversion rates [16][19]. Group 3: Product and Market Dynamics - Strong product offerings, particularly new regulations for high-efficiency housing, have driven market interest, with new products achieving high sales rates [22][23]. - Well-developed infrastructure, such as transit-oriented developments and school districts, has become a significant selling point for properties [27]. - Discounted pricing and strong marketing strategies for entry-level homes have contributed to increased sales volume [30]. Group 4: Second-Hand Market Insights - The second-hand market remains active, with many properties in core cities experiencing price increases, extending market warmth to first-time buyers [31]. - Over half of the second-hand properties in core cities have seen price increases, indicating a recovery in the market [31][32]. - The trend of new home quality upgrades is expected to continue, potentially impacting the second-hand market share [33].