Galaxy Securities: Configuring the real estate sector highlights its value. The market share of leading real estate developers is expected to further increase.

Galaxy Securities research report stated that on May 7th, the State Council Information Office held a press conference on "a package of financial policies to support market stability and expectations". It was mentioned that the individual housing provident fund loan interest rate will be reduced by 0.25 percentage points, and a series of financing systems compatible with the new model of real estate development will be accelerated to help maintain the stable momentum of the real estate market. This round of lowering the loan interest rates related to home purchases also mentioned the introduction of incremental financing support policies for real estate development, personal housing, urban renewal, and other aspects. The report believes that with the continuous push of policies, the threshold for residents to purchase homes is expected to decrease, and both the rigid and improvement-oriented housing demands of residents are expected to be further supported. With policy support, the allocation value of the real estate sector is highlighted. The report believes that leading real estate enterprises demonstrate excellent operational management capabilities, have advantages in capital, and have the potential to further increase market share.