It was reported today on Blogging Stocks that the company with the exclusive franchise rights to the Century 21 brand in China, IFM, has started to fill out the needed paperwork to proceed with an IPO.
So far, IFM has the largest network of real estate offices in China, with more than 1,000 locations across 34 major cities. There are roughly 14,900 agents and staff, which manage 4.7 million property listings. With its heft, IFM is ranked #3 in terms of real estate volume in China.
Morgan Stanley and Goldman Sachs are reportedly the lead underwriters on the IPO.
Sounds like good news for the company. China is def. a growing place and there will always be real estate there!
Do **NOT** buy CENTURY-21 Real Estate China stocks.
I have asked a few mom & pop Real Estate Agents in China
whether CENTURY-21 Real Estate China is their competitor they just laugh.
Remember that real estate agency in China is not a straightforward business as in the West.
To complete a transaction, real estate buyer or seller are expected to spent at least 40 hours running back and fort, in congested traffic, between various government offices and banks.
My experience tell me that these mom & pop brokers :
1) are extremely good at pushing paper works at government offices and banks.
2) have good connection with workers at various government offices and bank managers.
I have saved over $10000 USD in tax in a transaction last week thanks to a tip from a “friend” of my broker in a government agency.
I also save quite a lot on the mortgage at the bank where my broker has old “friend” as manager.
3) are willing to cut commission more than half.
4) have many other tricks in their hats that can help when “things” do not go smoothly as expected.
Most Chinese know, as I do, that mom & pop brokers are
better than the chain stores like Century 21.
If CENTURY-21 Real Estate China looks as good as their numbers showed they should issue their IPO in Shanghai or Shenzhen where it is sure to get higher valuation.
Its shares are listed in the USA because most investors in the USA do not know how really good or bad CENTURY-21 Real Estate China is.
Good luck USA investors!