Why Are Some Hefei Homes Selling at Half Price?

Reporters try to find out why some new houses in Hefei are selling at less than half price, finding the developer's explanation of early pre-buys as unacceptable. Some netizens wonder if there isn't corruption involved, as some of those receiving low prices work for the government. Hefei is one of the hottest real estate markets in China at the moment so it makes zero sense to sell at discounts unless there was some contractual obligation, or as is speculated, something underhanded is at work.

However, skyrocketing housing prices in Hefei, this explanation is still unacceptable. Some Internet users posting on a forum asked Hefei, this pricing is reasonable? Who will ultimately pay for the low price segment? Direct marketing house in the end is to whom? There exist tricky it? Are there breeds corruption? The orientation of the house, who is ultimately a profit? And violated the legitimate interests of which groups?

In this regard, 21st Century Business Herald reporter contacted the Housing Authority office in Hefei, the caller said unit in charge of real estate prices is the record of the Municipality, developers how to price does not belong to the Housing Authority's responsibility. Then the reporter contacted the bureau, the caller said, developers have the right to set prices, no pricing power bureau, the bureau if the developers filed with the actual sales price is different, bureau have the right to interfere. If you think direct marketing in a disciplinary offense, it can reflect to the City Commission for Discipline Inspection.

The main piece of evidence in favor of an inside deal is the price for the land, about one-fifth of nearby land sold six months later.

ccording to local industry sources Hefei, cloud water is ranking in May 2015 to sell the land, there were only two signed up housing prices, after several rounds of bidding, Ann COFCO Property to 6.26 million / acre competing Chief District ZWQTA-021 No-2 block, residential floor price of 3237.93 yuan / square meter, the premium rate of 2.62%, amounting to 281 million. Such a low premium, contrary to industry expectations. Later we learned that the development of this land is included with provincial departments and units of a condition, such as the King was carrying out project planning and program design, shall be in accordance with the opinion reached by the Provincial People's Procuratorate in writing, strict implementation of land within the new buildings concession red line, building height, the south side of the building first row of confidentiality requirements. Otherwise regarded as breach of contract, terminate the contract, free land. This indicates that food security is equivalent to a construction agent role. The official also say this pricing behavior is a legitimate business.

Is dramatic, cloud water and living across the street, it is the financial record-Government Plot area ZWQTA-025 by Helena, the case has set a financial record named Hefei No. One hospital, the estimated price of 30,000 yuan / square meter. Cloud water Habitat block transfer time in May 2015, while the financial record Hefei, One hospital time to get to the end of December 2015, amounting to 2.42592 billion yuan, a premium rate of 437.74 percent, residential floor price of 17099.91 yuan / square meter, commercial floor price of 15267.78 yuan / square meters, was "king."

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