4. Who moved my money bag

Zhou Song raised his glass and said to Qin Xiaoya: "You still speak for me, I toast you a glass!"

Qin Xiaoya put down her cup and looked at Zhou Song with a strange expression: "Zhou Bapi, I didn't expect you to be this kind of person"

Zhou Song was taken aback by the sudden attack from Feng Junzi, saying: "No—there's no such thing."

Qin Xiaoya: "You just mentioned that the vast majority of funds for real estate investment come from banks. What does this mean?"

At this point, Feng Junzi finally understood the reason for his earlier actions, and could not help but let out a sigh.

Zhou Song also smiled: "Nothing good can come from a dog's mouth."

Zhou Song: "This issue is probably clearer than I can express, as Feng Junzi mentioned at https://www.hetushu.com."

Qin Xiaoya calculated: "My house has appreciated by more than 20% over the past six months. If calculated on an annual basis, it would be even more. During the same period, the bank deposit interest rate was only 2%, and the loan interest rate did not exceed 6%"

Zhou Song: "The construction costs are quite stable. Currently, the fluctuations in housing prices mainly stem from land prices. The real estate market in China is quite unique; land is state-owned, and the government is the sole lessor, which gives it a strong ability to control land prices. There is no need to worry too much for now, and I cannot foresee matters that are too far in the future."

The topic shifted to banks, and Feng Junzi clearly became more interested: "The current financial capital is becoming increasingly concentrated, making it very difficult for individual entrepreneurs like you to obtain working capital loans from banks, whereas Zhou Bapi finds it quite easy."

Qin Xiaoya smiled and said, "How has Zhou the tycoon turned into Zhou the miser again?"

Feng Junzi: "This is correct; this is a phenomenon of negative interest rate absorption. Since the rate of increase in housing prices exceeds the bank's loan interest rates, financial capital naturally flows in large amounts from banks to real estate. You do not need to inquire about the specific mechanisms involved; just understanding this broader environment is sufficient"

As Qin Xiaoya was about to raise her glass, Feng Junzi suddenly said something inexplicable: "Do you think you are not Zhou Bapi? A while ago, weren't you developing a community in Gwangju?"

Feng Junzi looked at Zhou Song's awkward expression and was taken aback himself, not understanding why he had said such things in front of Qin Xiaoya. Wasn't this clearly tarnishing Zhou Song's reputation? He quickly explained: "Actually, I was just joking, Xiaoya, don't take it seriously. Zhou Song would never do such a thing. Even if someone did, it absolutely has nothing to do with Zhou Song. He has been collaborating with others on development, and besides, he has not been in Guangzhou for quite some time."

Qin Xiaoya: "I somewhat understand that under these circumstances, many ordinary people are eager to buy houses. But if this continues, what will happen in the future? Will it collapse as some people have said?"

The Wind Gentleman seems to be comforting Zhou Song: "Do not think too far ahead; I see that you still have at least two good years ahead of you"

Qin Xiaoya: "Based on what was just said, Zhou Bapi cannot actually be blamed; the rise in land prices is not his fault"

Feng Junzi asked Qin Xiaoya: "How much has the price of the house you bought increased in the past six months? What was the bank interest rate during the same period?"

Zhou Song's expression finally softened. Feng Junzi looked at Zhou Song and Qin Xiaoya, suddenly feeling a strange sensation in his heart. He knew that Zhou Song had a strong affection for Xiaoya, and it was not just an ordinary liking. Moreover, Xiaoya also had a good impression of Zhou Song, a mutual attraction between them, though it had not been explicitly stated. Xiaoya was indeed a very charming girl, and Feng Junzi himself also had thoughts about her. However, it was unfortunate that Feng Junzi recalled Zhou Song's earlier discussion about the classification of real estate. According to this classification standard, if Zhou Song were likened to a grand building, then Xiaoya would be akin to a beautiful villa. What would he be considered? At best, he would be an ordinary residence, and not even a proper framework, merely a beam, slightly better than a brick-and-mortar structure.

The Wind Gentleman continued, "I have heard that a group of local ruffians has injured many stubborn residents who refuse to relocate. Are the fees for hiring thugs and the medical compensation also included in your preliminary development costs"

Zhou Song listened in confusion: "Yes, what is it?"