On December 11th, official website, the Development and Reform Commission of Changsha, issued the Notice on Defining the Composition of Commodity Housing Price under the Supervision of Cost Method in our City (hereinafter referred to as the Notice), further strengthening the management of commodity housing price, and clarifying that the price is composed of "cost+profit+tax", in which the average profit rate is 6%-8%. The Notice has been implemented since December 11th.

In 217, the Development and Reform Commission of Changsha issued the Interim Measures for the Management of Price-limited Commodity Housing in Changsha, which stipulated that the price of price-limited commodity housing consists of cost plus profit plus tax, with an average profit rate of 6%-8%.

The release of the Notice is regarded by the market as version 2. of the price limit policy for new commercial housing in Changsha, and the price-limited housing is expanded from the price-limited commercial housing to all commercial housing.

preventing "tax avoidance" while limiting the price

According to the statement in the Notice, the cost of newly-built commercial housing is mainly composed of floor price, prophase engineering cost, housing construction and installation engineering cost, public infrastructure and ancillary facilities in the community, management cost, sales cost, financial cost, administrative fees and funds. Profit refers to the profits accrued by commercial housing development and operation enterprises according to regulations, with an average profit rate of 6%-8%. Taxes shall be implemented in accordance with the national tax law and relevant policies.

The Notice has made special provisions on expenses that shall not be included in the commodity housing price, and compensation, liquidated damages, late payment fees, fines, construction fees for operating facilities, installation fees and office buildings shall not be included in the commodity housing price.

this means that if housing enterprises want to achieve profitability, the sales cost in the marketing process needs to be further controlled.

"Real estate enterprises generally have inflated costs. On the one hand, it is to achieve the purpose of tax avoidance. On the other hand, inflated costs can also increase pricing. After the introduction of the above documents, these two aspects can be effectively controlled. " The financial staff of a listed company told reporters.

Yan Yuejin, research director of the think tank center of Yiju Research Institute, said that the practice of limiting profits will help prevent housing enterprises from arbitrarily overpricing and excessively pursuing profits. For some enterprises with high expenses such as finance and marketing, it is naturally difficult to make high profits, which will also spur housing enterprises to actively carry out scientific project investment and trading.

Zhang Dawei, chief analyst of Zhongyuan Real Estate, said that the policies mentioned in the Notice belong to the category of price fixing, and the purpose is to control the price increase. Compared with simple price limit, the practice of limiting profit rate is more complicated, with more dynamic indicators, and there will be great room for change in land acquisition cost, construction and installation cost and supporting cost. The above policies have a great impact on housing enterprises that acquired land at low cost in the early stage.

Yan Yuejin said that in the past two years, the control of land prices by local governments is the key. The control of profit rate this time is an innovation in price limit.

An executive of a listed real estate company told reporters that at present, the real estate control policies can be roughly divided into five levels: price limit, purchase restriction, sales restriction, loan restriction and business restriction. These five levels of regulation have different purposes. Among them, the restrictions on purchases and loans are to divert the demand for housing purchases, adjust buyers from first-and second-tier cities to third-and fourth-tier cities, and ease the pressure of rising housing prices in hot cities. Restricted sales have cracked down on real estate speculators and greatly reduced the space for speculative real estate speculation. The price limit can control the house price in a short time and make the house price lower as a whole. No matter what kind of restrictions, it will have an impact on the profits of housing enterprises.

Profits are compressed into a common phenomenon

According to the BOC International Securities Research Report, in the first three quarters of 219, the growth rate of main business income and net profit attributable to the mother of listed companies in the real estate sector was 19.2% and 9%, respectively, which was 1.2 percentage points and 3.3 percentage points lower than that in the first half of 219. In terms of profit margin, the overall gross profit margin and net profit margin of the sector were 35.6% and 1.3%, respectively, down 1.1 and 1.5 percentage points from the first half of 219.

On the surface, in the above Notice issued by Changsha, the average profit rate of commercial housing projects is set at 6%-8%, which is lower than the industry's overall profit rate of 1.3% in the first three quarters of 219, and the profit rate of related real estate enterprises may be depressed. However, Zhang Dawei pointed out that the profit rate of 6%-8% is not low. If this profit rate can be guaranteed, it is acceptable for housing enterprises. Since 219, the land sold in Changsha has been mainly price-limited land, and the profit of the project itself is limited. The 6%-8% profit introduced this time is the upper limit, and the lower limit is not guaranteed. It is not excluded that many projects will fall into losses like the limited competition rooms in Beijing. Therefore, the 6%-8% policy has limited operability.

many insiders pointed out that it is inevitable that the net profit of real estate enterprises will decline due to this policy, and it is not excluded that the net profit of some projects will drop to about 5%. However, the development of new projects by real estate enterprises is often divided into one, two and three phases, and the impact of the net profit of a certain phase on the overall performance of real estate enterprises is relatively limited, especially for large real estate enterprises.

Make pricing more scientific

It is worth noting that this practice in Changsha has already appeared in Hainan Province.

In p>212, Haikou City, Hainan Province issued the Interim Measures for the Administration of Price-Limited Commercial Housing in Haikou City, which pointed out that the specific sales price of price-limited commercial housing should be determined according to the complete cost factors such as land transfer price and development cost, construction and installation cost, taxes and fees and profits (not exceeding 6%). In the same year, Sanya issued the Interim Measures for the Management of Price-limited Commercial Housing in Sanya, which clearly stipulated the construction mode, purchase qualification, supervision and management of price-limited commercial housing, and required that the profit of price-limited commercial housing should not exceed 6% of the construction cost.

In this regard, Yan Yuejin said that the introduction of such policies actually makes the pricing of related housing products more scientific, which not only ensures a certain profit space for housing enterprises, but also ensures the relative stability of housing prices.

Zhang Dawei said that the current regulatory policies are all fine-tuning. When the house price rises, it will be tightened, and when the house price falls, it will be relaxed.