SPG Ratings China /insights/articles/2020-10-28-property-financing-red-lines_en content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

研究报告

Real Estate Developers with High Leverage to See Inventory Quality Tested Under Broader “Three Red Lines” Policy

Presale: Jianxin 2020-7 Non-performing Asset Backed Securities, December 1, 2020

Rating Action: Jianxin 2020-7 Non-performing Asset Backed Securities Senior Notes Assigned AAAspc(sf) Preliminary Rating

售前评级报告:建鑫2020年第七期不良资产支持证券,2020年12月1日

评级行动:评定“建鑫2020年第七期不良资产支持证券”优先档证券的预期信用等级为AAAspc(sf)


Real Estate Developers with High Leverage to See Inventory Quality Tested Under Broader “Three Red Lines” Policy

In our view, the widening of regulations aimed at controlling real estate developers’ interest-bearing debt would further reduce the industry’s overall credit risk in the long term. However, the nearer term may see less headroom for highly leveraged developers to finance in the capital market, pushing them to sell off inventory to ease liquidity pressure.