The China Real Estate Research Institute announced on December 31st that in 2024, the total sales of the top 100 real estate companies in China decreased by 30.6% compared to the previous year, indicating an ongoing adjustment trend in the overall Chinese real estate market.
According to the data released by the China Real Estate Research Institute, the “2024 China Real Estate Sales Billion Enterprise Rankings” calculated the total sales of residential properties from January 1, 2024, to December 31, 2024. The data showed that the total sales of the top 100 real estate companies in China is around 4.35 trillion yuan, marking a 30.6% year-on-year decrease. However, this decline narrowed by 2.3 percentage points compared to the numbers from November.
In 2024, the number of enterprises with sales exceeding 10 billion continued to decrease. There were 11 enterprises with sales exceeding 100 billion, which is a decrease of 5 compared to the previous year, with an average sales volume of 2001.4 billion yuan. The second tier (500 billion to 1 trillion) had 7 enterprises, decreasing by 12 from the previous year, with an average sales volume of 704.0 billion yuan. The third tier (300 billion to 500 billion) had 18 enterprises, increasing by 4 from the previous year, with an average sales volume of 375.7 billion yuan. The fourth tier (100 billion to 300 billion) consisted of 50 enterprises, a decrease of 17 from the previous year, with an average sales volume of 172.4 billion yuan.
In addition, the total equity sales of the top 100 real estate companies amounted to around 3.07 trillion yuan, with a market share of 31.9%, showing a 2.6 percentage point year-on-year decrease. The equity sales area was approximately 1.64 million square meters.
Facing a sluggish property market, real estate companies set relatively conservative sales targets in 2024. More and more companies are no longer increasing their sales targets, opting to maintain them at the average level of recent years. In 2024, among the typical real estate companies, only Yuexiu Real Estate and Tian di Yuan raised their sales targets, while most listed real estate companies maintained them at the recent average level, pursuing a more stable development.
Looking at the completion rate of sales targets, the average completion rate for real estate companies in the first half of the year was 86.0%, which was 12.5 percentage points lower than the 98.5% from the previous year.
The “2024 China Real Estate Sales Billion Enterprise Rankings” indicated that the overall Chinese real estate market continued to adjust in that year. New home sales saw a significant year-on-year decline in the first three quarters, while the second-hand home market remained relatively active driven by “downsizing for higher volume” strategies. Since the fourth quarter, there has been a warming trend in the core city markets.
Looking forward to 2025, although additional efforts from the authorities are expected to drive anticipated recovery, the real estate market still faces various challenges.
Equity sales refer to the net income obtained by enterprises from selling goods or providing services within a specific period, after deducting sales discounts and allowances, resulting in the net sales amount.