On September 29, Caixin reported (Reporter: Guo Zishuo) that before the National Day holiday, a series of significant new policies such as the reduction of existing real estate loan interest rates have injected a 'shot in the arm' into the real estate market during the 'Golden September and Silver October' period, with multiple real estate developers fiercely competing during the National Day Golden Week.

At the same time, Caixin reporters noticed that some state-owned large banks have targeted this period, taking the lead in launching a series of viewing and signing promotional activities.

On September 29, the China Construction Bank Corporation Zhongshan Branch in Guangdong Province announced on its official account, 'Celebrating National Day, Enjoying Mega Discounts for Home Purchase, 100% Chance to Win Prizes for Meeting the Criteria of 'Golden September and Silver October.'' Caixin reporters noted that this activity was initiated at the national level by China Construction Bank Corporation head office and has recently been implemented in Zhongshan.

According to data from East Money Information Choice, the total balance of personal housing loans from the six state-owned major banks in the first half of the year amounted to 26.12 trillion yuan, accounting for 77% of the total balance scale of personal housing loans in 42 listed banks.

Public information shows that as one of the six state-owned major banks, China Construction Bank Corporation took the lead in deploying the 'Golden September and Silver October' National Day real estate loan discount promotion, becoming the first state-owned large bank to launch such an activity after the official announcement of the adjustment of existing real estate loans.

China Construction Bank Corporation has launched a national property purchase promotion, with several state-owned large bank branches also taking action.

China Construction Bank Corporation's proactive move in the housing loan business is not surprising. Caixin reporters noted that although the scale of personal housing loans at China Construction Bank Corporation slightly decreased in the first half of the year, it still holds a key position in the overall retail credit proportion. By the end of June 2024, the balance of personal housing loans at China Construction Bank Corporation decreased by 76.466 billion yuan from the previous year end to 6.31 trillion yuan. However, personal housing loans still account for 72.05% of the bank's total personal loans and advances.

Apart from the national real estate credit marketing activities of China Construction Bank, recently some local branches and sub-branches of state-owned major banks have also taken action. Bank of Communications Guangdong Branch is collaborating with China Merchants Shekou Industrial Zone Holdings. Starting from October 1st, employees of Bank of Communications or customers recommended by Bank of Communications can enjoy additional discounts on house purchases during the housing purchase festival; Industrial and Commercial Bank of China Guangzhou Branch is collaborating with China Resources Land. Starting from September 27th, China Resources Land in Guangzhou is concentrating on selling high-quality units in a special preference session for the properties on sale, where some properties enjoy limited special offers on units. Customers recommended by the bank can also enjoy exclusive discounts; Customers recommended by the bank who successfully purchase properties from China Resources Land in Guangzhou on sale have the opportunity to receive certain property gifts.

Yan Yuejin, Deputy Director of the E-House Research Institute in Shanghai, told Caixin reporters that from the perspective of banks, state-owned major banks actively digest existing policies and launch real estate mortgage promotion activities, which is actually a positive signal and reflects their expectations for the sales situation in the entire real estate market.

Li Yu Jia, Chief Researcher of the Housing Policy Research Center of the Guangdong Provincial Urban Planning Design Institute, pointed out in an interview with Caixin reporters, "In the past, the growth of new home sales and the active second-hand housing transactions, the real estate mortgage market was huge, and each bank could get a share of the pie. Currently, banks are facing the stock real estate mortgage market. On one hand, the share of real estate mortgages is shrinking, and on the other hand, the lower limit of real estate mortgage interest rates has been lifted. Various commercial banks, in order to seize the market, are also actively competing for customers through marketing campaigns."

Li Yu Jia pointed out, "For banks, on one hand, real estate mortgages are still high-quality assets; on the other hand, through real estate mortgage business, banks also have the opportunity to further understand customer needs, expand personal business, such as personal finance, insurance product purchases, personal entrepreneurship loans, consumer loans, etc. Overall, it is very likely that other banks will follow suit."

Housing credit remains the key direction for investment in the second half of the year for various banks.

Although the interest rates on existing mortgage loans are still in a downward trend and face pressure from adjustments in interest rates on existing mortgage loans, mortgage loans have always been a battleground for various banks as high-quality credit assets.

Not long ago during the mid-year reporting season, several senior executives of state-owned major banks revealed that individual housing loans are the key focus for retail credit in the second half of the year for each bank.

Wang Bing, Deputy President of China Construction Bank, proposed at the bank's 2024 mid-term performance conference to "consolidate the traditional advantages of personal housing loans." Wang Bing stated that CCB will thoroughly explore effective credit demands, accelerate the transformation of reserve projects, maintain reasonable growth and balanced deployment of credit, continuously strengthen the expansion of retail credit business, vigorously promote the retail credit action plan.

Bank of China Vice President Liu Jin also pointed out that in RMB business, optimizing asset structure continuously, enhancing support for key areas such as new quality productivity, financial "five major tasks," increasing personal housing and consumer loan disbursement, further improving the contribution of personal loan growth.

Postal Savings Bank of China Retail Business Director Liang Shidong stated that in the first half of this year, Postal Savings Bank of China issued nearly two trillion in mortgages, with a net increase of over twenty billion. Next, Postal Savings Bank of China will closely follow policy guidelines, continue the development strategy and advantages from the first half of the year. Firstly, persist in supporting essential and improvement-oriented housing demand; secondly, maintain a balance between new and second-hand houses; thirdly, focus on key areas, high-energy market and county markets. In summary, it will continue to maintain the stable, healthy, and orderly development of mortgage business.