Chapter 950: The Game of Drumming and Passing Flowers
In China, the stock market is for living, and the real estate market is for speculation!
When it comes to Hainan's real estate bubble, Wu Xiaozheng can't help but think of a popular sentence twenty or thirty years later.
This sentence means that China's stock market and housing market have always been a strange existence.
If a person puts his main assets in the stock market, he may become a shareholder in a minute, and you can stay in the stock market with peace of mind, and never think about it.
But if someone has invested money in the real estate market in the past, everyone will give envious looks.
The housing prices of later generations were really speculated, which is outrageous.
In a place like Shenzhen, the average house price is as high as 50,000 or 60,000 yuan per square meter, and ordinary salarymen, if they only rely on their salary, will never want to afford a house in their lifetime.
This situation is far more than just one place, but in the first and second tier cities across the country, and even the housing prices in some third-tier places have been inflated.
At that time, the situation was fundamentally consistent with the current Hainan real estate bubble, all of them were beating the drum and passing the flowers, and they were all tossing with bank funds, but I didn't know when the drum would stop, and I didn't know if the drum could stop, let alone who would be the last pick-up man.
The real estate market in later generations is really a bit outrageous.
Because the real estate of later generations has been a piece of fat for a long time, everyone wants to take a bite, so there is a real estate market with Chinese characteristics.
As far as Wu Xiaozheng knows, many industrial enterprises have finally set foot in the real estate boom.
Seven wolves do real estate, beauty does real estate, and Haier does real estate!
Youngor does real estate, Suning does real estate, Gome does real estate!
Supor does real estate, Gree does real estate, Galanz does real estate!
Aokang does real estate, Wahaha does real estate, Xizhilang does real estate!
Oaks does real estate, Great Wall mattresses do real estate, Changhong Electric does real estate!
Wuliangye, Langjiu, and Shuijingfang are all doing real estate!
……
What Wu Xiaozheng is thinking now is that since he knows that real estate will be hot again after a few years of regulation, should Wu's enterprises really get involved in the real estate market?
This is indeed a very tempting and seductive question.
No matter how profitable the industry is, it is still far less profitable than the real estate industry.
As far as Wu Xiaozheng knows, those real estate companies that popped up last year, including Country Garden, Agile, Poly, Hopson Development, Greenland, etc., as well as Wanda, which has now begun to go to Guangzhou to toss, have grown into behemoths that can only be looked up to by industrial enterprises in the next few years after surviving the difficulties of regulation and control in the next few years.
With such a huge profit, Wu Xiaozheng had to think carefully.
Speaking of which, Grandview Group is now involved in the real estate market, but the model of building hypermarkets and five-star hotels is still very different from pure building and selling houses, which is why Wu Xiaozheng is not too worried about the impact of macroeconomic control on these projects.
But after that?
You know, the current five Grandview Plaza projects, covering an area of more than 300,000 square meters, according to Wu Xiaozheng's plan, after the hypermarket and hotel are built, the next step is to build high-end office buildings and high-rise residences.
Both of these parts belong to the category of saleable and rentable, especially high-rise residential buildings, which are definitely mainly for sale.
You must enter, but you have to pay attention to the timing!
Wu Xiaozheng soon had a clear idea.
Although he is a reborn man, although he knows that the real estate market in the future will overheat and even produce a huge bubble, he does not feel that he has the ability to change the trend of the big market.
Since you can't change the big trend, can you be a spoiler at the right time?
Wu Xiaozheng suddenly felt that this was a very interesting idea.
Because he has been involved in the real estate industry, Wu Xiaozheng knows how profitable this industry is.
For example, a large piece of land taken by Grandview Group in Shenzhen was only a few hundred yuan a square meter, but after 20 years, the land can rise to tens of thousands of yuan a square meter, and the appreciation is more than 100 times.
For another example, the commercial housing in Changshi is now only three or four hundred yuan per square meter, but after more than 20 years, it will be at least tens of thousands, and first-tier cities such as Beijing, Shanghai, Guangzhou and Shenzhen will be several times more expensive.
One can imagine how big the profit is.
The real estate industry's profits may seem clearer from another perspective.
Taking the current long city center area as an example, the floor price of commercial housing may be about 100 yuan per square meter, the average construction cost is a little more than 100 yuan, and the cost of more than 200 yuan is still a big profit if it is sold at a price of three or four hundred.
In this era, it is not necessary to do real estate with too much capital.
Before construction, as long as the land and project approval are obtained, the developer can go to the bank for a loan, and then before the construction starts, the developer can sell the pre-sale property in advance, which is equivalent to using the money of the bank and future residents to do development, a typical business without capital.
In later generations, the off-plan property could not be sold, but the profit was even greater.
For example, in Shenzhen in later generations, the land price has been sold to a sky-high price, and the average floor price may go to 30,000 or 40,000 yuan, but this will only make more money, the reason is that the floor price can go to 30,000 or 40,000 yuan, and the price of the house has at least gone to 780,000 or even 100,000 yuan, and the construction cost plus expenses is about 3,000 per square meter.
The floor price of 30,000 or 40,000 yuan, but it is sold for 100,000 yuan, how much profit is there?
This is the reason why all kinds of industrial enterprises have turned to invest in the real estate sector.
Few industries are more lucrative than real estate!
Wu Xiaozheng was thinking at this time, should he start hoarding land now, and then enter the real estate industry in a big way?
He immediately shook his head.
It doesn't seem to be the time yet.
He remembered that the macroeconomic control that began this summer will continue for about three years.
These three years are also the period when the real estate industry turns from hot to cold, and it is only after 97 years that real estate will gradually become hot again, and then start to go crazy.
In that case, it is better to wait another three or four years.
By that time, Wu's enterprise should have developed into a behemoth, and there should be enough funds in hand to play hard.
This line of work can really be played for a long time!
Wu Xiaozheng remembers that this game of drumming and passing flowers from 97 years lasted for more than 20 years, and until he was reborn, this drum beat could not be stopped.
But around 2017, Wanda, the former real estate tycoon, began to withdraw, and then Hong Kong real estate tycoon Li Ka-shing began to sell off real estate assets......
All this is to show that this game of drumming and passing flowers seems to be coming to a halt around 2020.
Alas, what a pity!
In my previous life, I didn't even get to see the tragic situation after the game stopped.
It seems that in this life, you must personally participate in it, and then laugh and watch all beings cry.