Demand has been stimulated, and the new housing provident fund policy has increased the activity of the real estate market.

Last week, the People's Bank of China issued a notice about lowering the interest rate for individual housing provident fund loans, stating that starting from May 8, 2025, the interest rate for individual housing provident fund loans will be reduced by 0.25 percentage points. The new policy on provident fund significantly boosted market activity over the past weekend. Taking the Shenzhen market as an example, data released by the Shenzhen Zhongyuan Research Center showed that after the implementation of the new provident fund policy, 152 new residential properties were sold in Shenzhen over the weekend, and 128 second-hand residential properties were sold. At the same time, the number of viewings of second-hand houses in Shenzhen over the past weekend increased by 53% compared to the previous week. According to data from the Le You Jia Research Center in Shenzhen, the new provident fund policy effectively reduces the cost of purchasing a house, promotes an increase in market activity, and speeds up the decision-making process for customers after the policy was implemented. On the last Sunday, the number of signed contracts for second-hand houses at Le You Jia stores increased by 35% compared to the average during the "May Day" holiday.