Research On The Investment Benefit And Risk Assessment Of Shu Xiang Yuan Real Estate Project

Chinese residential real estate industry has bid farewell to the era of rapid growth and stepped into the stage of steady development.Now,the market of the real estate industry has serious regional differentiation: the inventory pressure is concentrated in third-tier and four-tier cities.The economic,political,traffic and population factors of third-tier cities are inferior to those of the first-tier cities.Thus,many problems arise in third-tier cities: the real estate inventory is seriously backlogged;enterprises find it uneasy to sell and finance;management costs and financial costs has increased substantially;profit space shrinks while the deficit increases;enterprises went bankrupt and investors ran away.Pure speculation or shoddy production can no longer earn exorbitant profit.Therefore,the income and risk assessment of real estate projects in third-tier cities is even more important in order to avoid hazard.The research on real estate project income and risk assessment is based on the theory of project income evaluation and the theory of project risk assessment.In order to realistically reflect the actual income and risk of the project,this paper uses the dynamic evaluation system for both the theory of income assessment and the theory of risk assessment.In this paper,the dynamic income evaluation system mainly includes four indicators: the net present value,the internal rate of return,the dynamic payback period and the investment return rate.In this paper,the dynamic risk assessment system mainly includes four aspects: firstly,the keynote of the risk assessment of this paper is "the greatest risk and the minimum income";secondly,since income and risk coexist,this paper combines the dynamic income evaluation indicators to evaluate the risk of the project;thirdly,because the biggest risk of real estate projects is capital chain rupture,this paper relates to the project's financing plan and its "financial pressure" to assess the financial risk of the project;fourthly,this paper uses breakeven analysis and sensitivity analysis to distinguish the breakeven point of the project and the risk sensitive factors of the products,thus finding the main risk of the project and providing suggestions about risk prevention and control for future development.Therefore,based on income and risk assessment theories of real estate project investment,this paper begins with the status quo of China's real estate industry;expounds the basic ideas and processes of risk management of real estate projects,and focuses on Xiangtan Shu Xiang Yuan real estate project—a medium-sized real estate project in a third-tier city with relatively high market risk.With the research ofShu Xiang Yuan Real Estate Project,this paper applies the risk management theory in real estate projects income and risk assessmen.This paper can be a reference for Chinese real estate enterprises and management personnel to correctly implement risk management of real estate projects.