(Yicai) May 27 -- Large Chinese cities, such as Beijing, Shanghai, Guangzhou, and Shenzhen, are seeing signs of increasing interest in buying property, especially pre-owned homes, after the latest policy adjustment 10 days ago.

The number of visits to view second-hand housing in Shenzhen more than doubled to the highest level since 2018 during the weekend ended May 19 from the average of weekends this year, according to statistics from Leyoujia, a major real estate agency in the first-tier city. On May 19, more pre-owned homes exchanged hands than on any other single day since February 2021.

On May 17, the People’s Bank of China announced several new property policies. The minimum down payment ratio was lowered to 15 percent, the floor rate for commercial mortgages was abolished, and that of the housing provident fund, a housing savings plan for workers, was cut by 25 bips. Moreover, the central bank set up a CNY300 billion (USD41.4 billion) relending facility to encourage state-owned enterprises to purchase unsold new homes to offer affordable housing.

After the policy move, 2,000 pre-owned homes were sold in Beijing the following weekend, the highest level since Chinese New Year, celebrated in February.

A source in charge of distribution at a real estate project in Beijing said that more contracts are signed online and customer confidence is getting stronger after the implementation of new policies.

The effect can be seen up north and down south as in Guangzhou, sales of new homes jumped by 17 percent in the week ended May 19 from a month earlier, according to data from Hope China Research.

Central China's Wuhan saw almost 1,800 housing transactions in the seven days ended May 22, per the China Index Academy. The daily average was 254 homes, up 53 percent from April.

A real estate agent in Xi’an told Yicai that there have been subtle changes in the second-hand housing market. "There are more customers. They used to hesitate after visiting the houses, but now they make a decision quicker." However, there is no upward momentum in pricing, the agent said, adding that each neighborhood has owners who are willing to lower their prices to sell quicker so buyers should take their time to observe the latest trends.

Property agents in Hefei and Chongqing also said that transactions have rebounded and more people are visiting houses.

Editor: Emmi Laine