Reasons for losing real estate projects

1. Property management is a special service industry. Influenced by the traditional system, the service charges in most areas are still fixed or guided by the government. However, when the government price authorities set prices, they are more based on the principle of low profit in property management. The charging standard of property management in residential quarters is low, and it has not been adjusted according to the changes of price level and rising labor costs for many years, so it is difficult to ensure the operating efficiency of property service enterprises. Therefore, in order to ensure breakeven, enterprises can only lower their service standards. Coupled with the low standard of property management service fees, it directly leads to the long-term loss-making operation of property service enterprises, which has no development potential and has to choose to quit.

2. The social responsibility of property service enterprises is too heavy. In the process of property development, many owners think that property management should be fully responsible for the public affairs of the community, which unrealistically broadens the extension and connotation of property management and adds all social security, environmental governance and neighborhood disputes. Giving it to property service enterprises leads to unreasonable responsibilities of property service enterprises and deviates from the principle of market-oriented operation of enterprises.

3. The inaction of some monopoly functional departments has brought a burden to property service enterprises. In many cities, water supply, power supply, gas supply, heating and other units still violate the provisions of the Property Management Regulations and do not charge related fees to the end users in the property management area. In addition, in some cities, professional departments such as tap water, power supply, gas and heating only charge and refuse to bear the maintenance costs of related pipelines and pipelines, and shirk their responsibilities when they are damaged, which makes the first-line property service enterprises facing the owners fall into a passive situation.