“HPF policy ease and quality supply with premium locations should help unleash some residential property purchasing power to the market in the coming Q3/2025.”

CARLBY XIE, SAVILLS RESEARCH



New policy to beef up sales

• The average mortgage rate for Shenzhen’s first-time buyers decreased from 3.15% to 3.05% in Q2/2025.

• Shenzhen unveiled new measures to boost housing consumption in June, allowing the use of HPF to pay for housing down payments for the first time.

• The semi-annual first-hand residential supply volume decreased to a five-year low of 1.4 million sqm in 1H/2025; the quarterly new supply decreased by 4.8% YoY to 859,000 sqm in Q2/2025.

• The citywide quarterly transaction volume fell by 11.8% QoQ to 1.1 million sqm in Q2/2025, with transacted units down 12.1% QoQ to 10,561.

• The citywide first-hand residential transaction prices structurally increased by 1.1% QoQ to an average of RMB52,832 psm, supported by sales of several quality projects.

• Shenzhen will launch a total of 10,673 units onto the market in Q3/2025, according to local authorities.