CSC: the reduction of mortgage interest rate releases positive signals, and the policy trend remains unchanged

CSC pointed out that after the central bank and the China Banking and Insurance Regulatory Commission lowered the lower limit of the first house mortgage loan interest rate, the current interest rate has more room to fall than the lower limit. The reduction of the lower limit of interest rate is a positive response to the "supporting all localities to improve real estate policies and supporting rigid and improved housing demand" put forward at the meeting of the Political Bureau of the CPC Central Committee on April 29. Lowering the mortgage interest rate to improve the expectations of home buyers has a positive effect on the improvement of sales. Although the reduction of mortgage interest rate has limited savings on the average monthly expenditure of home buyers, it has released a positive support signal, which helps to improve the expectations of home buyers and further stimulate sales. Under the background of "steady growth", the real estate industry, as a pillar industry of the national economy, is expected to receive more support. We believe that the trend of real estate policy remains unchanged. With the gradual control of the epidemic and the gradual recovery of production and operation, the effect of the policy is expected to accelerate. Reiterate the view of bullish real estate sector remains unchanged.