|
Real estate agents feel the pinch
(China Daily)
Updated: 2006-07-27 09:22 As the new policies become clear in people's minds, the market will pick up
in September or October he predicted, enabling Midland to recoup its
investment.
Other agencies are also refusing to be downhearted by the
changing fortunes of the property market, or are at least covering their
concerns with a brave face.
"Our company's expansion plan was mapped out
earlier this year and has not been affected by the market environment," said Du
Xin, general manager of Zhinglian Real Estate in Shenzhen.
Her company
opened 28 branches on a single day in July and Dui says, despite falling sales
of second-hand housing, demand remains high.
"The supply of second-hand
houses in the Special Economic Zone is decreasing, but there is still plenty of
demand for the properties.
"As long as that demand is there, we will
continue our expansion to become one of the leading players in the market," she
added.
Du says Zhinglian plans to have 120 branches by the end of the
year and, as the slump triggers consolidation, with smaller agents trying to
sell their businesses, the time is ripe for larger agencies to expand.
As
the changing climate forces speedy evolution, there is growing competition to
track down profitable niches in the market and find new ways to attract
customers.
Frances Wang, manager of global real estate advisor DTZ, believes
overseas Chinese buyers should be a prime target for business hungry
agents.
"There is no sign that expatriate Chinese will lose their
enthusiasm for buying houses in China just yet," she said. "An increasing number
of buyers overseas, the majority of whom are expatriate Chinese, are opting to
buy property here focusing on new mid to high-end apartments and villas. They
are snapping up properties as both investments and places to
live."
Heading out on a different route, property agents Sunco have
chosen to compete on price, dropping their commission from 2.5 to 1.5 per cent,
half the 3 per cent Beijing average.
By cutting administration prices,
general manager of Sunco Beijing Tian Qiang said, the company can attempt to
hold steady in the fading market.
(For more biz stories, please visit Industry Updates)
|
| |
|
| |
|
|
|
| Most Popular Stories in 48 Hours |
|
|
|
|
