At the high-level meeting of Xinjian Group, after listening to the report on the loan situation of Xinjian Bank, Li Jianhui made three requirements in order to avoid too many bad debts in the next few years.
First, improve the review standards for real estate company loans and reduce loans to small and medium-sized real estate companies.
The second is to strictly inspect the revolving mortgage loans of real estate speculators. Anyone with two or more housing loans will not be granted a loan.
The third is to track the loans that have been made and understand the situation of the lending companies. Once there is a problem with the other party's funds, the loan must be recovered in time to reduce the bank's losses.
He doesn't know whether the stock market will fall next year. As long as Thatcher continues to visit the capital the year after next as she did in her previous life, the housing price bubble will inevitably burst.
Housing prices cannot be suppressed by relying solely on the Xin Jian Department. After all, there are not many of his projects in Hong Kong Island and Kowloon, and citizens mainly choose to settle in these two places.
Li Zaiwei is not surprised by Li Jianhui's demands. As a senior executive of the Xinjian Department, Li Jianhui has asked Hutchison Real Estate and Xinjian Real Estate to reduce land acquisition and development in Xiangjiang and shift their focus to Treasure Island at many meetings this year.
and the Japanese market.
Li Jianhui's attitude shows that he is pessimistic about Hong Kong's real estate market in the next few years. Now he has begun to ask for bank loans, which is further evidence that the bubble in the real estate boom is likely to burst.
Perhaps the events of 1973 will happen again, and real estate will turn from prosperity to decline and enter a trough period.
Pan Kezhi, chairman of the board of directors and general manager of Xinjian Bank, said: "Li Sheng, will the previous preferential policies be continued for employees under the Xinjian department?"
"The preferential policy for Xinjian employees has been changed to the first home, and the approval of mortgage loans for their multiple homes has been temporarily suspended. No matter how many people in the family work for us, subsequent approvals for more than one home will no longer be approved."
As an employee of the Xinjian department, I am relatively happy. The price of buying a house in the Xinjian department is 10% lower than that of others, and the loan interest is also 10% lower than that of others.
Moreover, the down payment for these people is also quite low. If they are in management and have signed a long-term employment contract with the company, they can even have zero down payment.
Today, as the army of real estate speculators is growing day by day, Li Jianhui believes that there must be employees in the Xinjian Department, or family members of employees, joining in.
In the past, he turned a blind eye and pretended not to see it, but starting from today, he can no longer do it. In order to prevent Xinjian Bank from being dragged down in the future, restrictions will begin at this time.
If the bubble bursts in two years and prices begin to plummet, the loss will not be too great. After all, the current housing prices are not at their peak. In addition, these people have paid the down payment and paid monthly payments for several years. Even if there is one remaining
If you pile up houses and build a bank, you won't lose money.
As for the losses that those who speculate in real estate will suffer, that has nothing to do with him. In the Xinjian Department, Li Jianhui specifically reminded his employees not to speculate in real estate. If these people don't listen, they can only blame themselves for their misfortune.
Moreover, early next year, he will also advise his employees who are over-leveraged to sell their excess real estate. It is up to them whether they want to or not. Anyway, he has definitely done his best.
This time it was not just Xinjian Bank, but also the leaders of the secretly controlled Demaple Bank, K. Wah Bank, Union Bank, and Xingchuang Bank. They also received requests from those behind them and began to reduce loans to real estate.
In addition, East Asia, Daoheng, and Yongan, which have mutual holdings with Xinjian Bank, have also successively introduced policies to improve the loan approval conditions for real estate.
Suddenly, the storm is coming, casting a shadow over the real estate industry that has been booming in recent years.
This time the review is being strengthened not just for one bank, but also for the top three local Chinese-owned banks in Hong Kong, Xin Jian, East Asia, and Wing Hang, as well as Wing On Bank, which has been developing rapidly in the past few months.
The foreign-controlled and rapidly developing banks such as Demaple Bank, Industrial Bank, Ka Wah Bank, and Union Bank have also improved their review standards for real estate loans.
At the same time, Wing Lung Bank, Conian Bank, Sun Hung Kai Bank, Hong Kong Kwong On Bank, etc. also followed Xin Jian Bank's footsteps and announced to the public that they would increase the review conditions for real estate loans.
So many forces are betting on vacant land properties without any warning, which makes many real estate speculators feel panicked.
You must know that whether it is the Donghua Consortium or the two major consortiums, Huaxin and Xianghua, they all own the top ten real estate companies in Xiangjiang.
Even they themselves expressed that they were not very optimistic about the future real estate market, and they have strengthened loan review. How can those who hold a large amount of real estate not panic.
These people are actually quite smart, otherwise they wouldn't play like this. They know better than anyone whether the current housing prices are normal.
It's just the economic development of Hong Kong, coupled with the substantial increase in population every year, as well as the promotion of real estate developers, banks and the Bryan government, that make them believe that this kind of game can continue to be played.
It's a pity that they met Li Jianhui, a guy who doesn't follow common sense. It doesn't matter that the prices of Tianshui City and Huihong City are low. The worst they can do is stay away from these two areas.
Unexpectedly, this move was taken directly this time. Such a move is bound to make countless citizens lose confidence in real estate prices in the next few years. Those who are really ready to buy a house may choose to postpone it, which is a huge blow to them.
Now that so many banks have chosen to raise their standards, it is difficult for people like them to get loans from these banks anymore.
If they all crowd into HSBC, Standard Chartered, Hang Seng, Hang Lung and other banks, I am afraid that these banks will most likely have to improve their conditions. After all, no bank dares to lend funds to real estate.
What they are most afraid of now is a sell-off. After all, they do not have a complete organization and no restrictions. It is normal for them to cash out and leave under pressure.
Once there are more people like this, there will be more properties circulating on the market, and prices will naturally fall, or even fall sharply.
Those who panicked along with these people were also the stockholders in Xiangjiang. Affected by this, the stock prices of listed real estate companies in Xiangjiang began to plummet.
No matter it is Hutchison Land, Chinese Land, Guanghua Construction, Kowloon Construction, or Jardine Land, Hang Lung Properties, Sun Hung Kai, Cheung Kong, etc., no one has escaped the fate of a sharp drop in stock prices.
On the contrary, Wheelock Land, which has now shifted its focus to commercial real estate, has suffered a certain decline due to this impact, but compared to other real estate companies, Wheelock Land's decline has been the lowest.
I don’t know how many people are gnashing their teeth against the Xin Jian Department. The culprits of this turmoil are obviously Li Jianhui and the Xin Jian Department. They were originally developing well, but it was because the Xin Jian Department took the lead in raising the standards for real estate review, which caused this chain reaction.
This is completely a plan devised by Li Jianhui to kill the enemy by one thousand and damage himself by eight hundred. They are not happy.
12%.
In the eyes of many people, Li Jianhui obviously wants to curb the rise of Xiangjiang real estate, and his purpose is to meet the needs of his own industrial development.
Xinjian Department is different from most of them. It not only owns real estate, but also media, retail, home appliances, automobiles, clothing, jewelry and other industries.
With lower housing prices, citizens will have more money to spend. In this regard, Xinjian Department will obviously be the biggest profiteer. As a real estate company, they can only become spectators.