208 Real Estate Companies Declare Bankruptcy

What's notable is the modest decline in sales. Credit bubbles don't require a major crisis to pop. They burst when they stop growing.
iFeng: 208家房企宣告破产 房地产行业洗牌加速

According to the announcement of the People's Court Announcement Network, as of early June 2020, the number of real estate enterprise bankruptcies this year has reached 208, exceeding the number of 177 bankruptcies in the first half of 2018, which is relatively flat compared with the same period in 2019. In 2020, an average of one housing company is liquidated every day.

The data shows that the maturity debt of the real estate industry is about 1.46 trillion this year, of which the peak is due in July, reaching 1.49 trillion. July is coming, although some real estate companies are quite amazing to get the goods out of stock and get cash for turnover, but for most small and medium real estate companies, returning to the good times in the past is basically more difficult.

From January to May 2020, the average sales value of TOP50 housing companies was 62.28 billion yuan, a year-on-year decrease of 4.86 billion yuan, or a decrease of 7.2%. This decline is not unexpected. After all, market recovery will take time. In general, we should still have full confidence in the future. However, in the early stage of such recovery, the confidence of many housing companies may collapse, and the moment of real recovery cannot be sustained.