Core Viewpoint - The real estate sales model in China is set to undergo a fundamental transformation by gradually phasing out pre-sale of properties and shifting towards selling completed homes, with significant changes expected during the "14th Five-Year Plan" period, particularly around 2026 [1][5]. Group 1: Background and Current Issues - The traditional pre-sale system has allowed developers to sell properties before they are built, leading to significant risks for buyers, including the "unfinished building" problem, where projects are halted, leaving buyers in financial distress [3][5]. - The recent downturn in the real estate market has highlighted the vulnerabilities of the pre-sale model, prompting a shift in policy direction to protect consumer rights and address financial risks within the industry [3][5]. Group 2: Impacts of the Shift to Completed Home Sales - The transition to selling completed homes is expected to significantly reduce transaction risks for buyers, allowing them to inspect properties before purchase, thereby enhancing consumer confidence and satisfaction [5][9]. - This change will raise the entry barriers for real estate companies, as they will need to rely on their own funds or compliant financing to complete projects before selling, potentially leading to the elimination of weaker firms from the market [6][8]. - The focus on completed homes will shift market competition from speculative designs to actual product quality, encouraging developers to improve construction standards and customer service, fostering a more refined and quality-driven industry [8][9]. Group 3: Market Stabilization and Transition - Implementing the completed home sales model will likely extend the timeline for new home supply, which may help alleviate existing inventory pressures in certain cities and stabilize market expectations [9][11]. - A gradual approach to this significant reform is necessary, as it involves adjustments in various aspects of real estate development, financing, and land supply, requiring careful planning and support from financial institutions [9][11]. Group 4: Conclusion - The move towards eliminating pre-sale and promoting completed home sales is not merely a change in sales strategy but aims to fundamentally protect buyer rights, enhance industry standards, and promote long-term stability in the real estate market, marking the beginning of a more transparent and quality-focused era [11].

Core Viewpoint - The "unfinished buildings" remediation in Shijiazhuang is a significant livelihood and public sentiment project, addressing the interests of thousands of households and aiming to ensure housing delivery, public welfare, and stability [1] Group 1: Background and Challenges - Shijiazhuang faced issues with "unfinished buildings" due to chaotic development and illegal construction, leading to funding chain breaks and numerous stalled projects [1] - In 2021, Shijiazhuang identified 44 historical "unfinished building" projects, many of which had been stalled for over 20 years, complicating their continuation due to outdated compliance with current regulations [2] Group 2: Remediation Strategies - The city government established principles for remediation, including clearing illegal profits from developers and holding responsible parties accountable, while creating lists for tasks and responsibilities to drive the remediation process [2][3] - A comprehensive governance model combining government leadership, market operations, and legal safeguards was implemented, with clear timelines for project completion and public accountability [4] Group 3: Legal and Market Mechanisms - Legal actions were taken against 16 real estate companies for various illegal activities, and criminal measures were enforced against project leaders to recover losses and deter future violations [3] - Shijiazhuang adopted a market-driven approach to revitalize projects, including bankruptcy restructuring and judicial auctions, to attract capable enterprises for project continuation [5] Group 4: Future Goals and Accountability - By the end of 2024, all 44 "unfinished building" projects are expected to be completed, with 42 projects delivered and 2 demolished, alongside improvements in surrounding public facilities [6] - The city emphasizes the importance of political responsibility and a disciplined approach to ensure the effective execution of remediation efforts, aiming to prevent future occurrences of "unfinished buildings" [7][8]