CITIC Securities: Real estate sector may usher in two major turning points in 2026.

The research report of Bank of China Securities stated that the real estate market is expected to rebound in 2026. Throughout the year, there may be two turning points, one around the end of the first quarter known as the "policy turning point," and one around the end of the fourth quarter known as the "fundamental turning point." The "policy turning point" may be reflected in the proactive policies at both ends of the real estate supply and demand, while the "fundamental turning point" mainly refers to the clarity of the improvement in demand, mainly reflected in the narrowing decline in prices of second-hand houses. At this stage, it is recommended to focus on three main themes: stable fundamentals, sales and land holdings in core cities of first and second-tier cities, and high market share in key cities by real estate enterprises; "small and beautiful" real estate enterprises that have made significant breakthroughs in sales and land acquisition continuously; and commercial real estate companies actively exploring new scenarios and operational models in the new consumption era.