Second-hand homes sell in a "lightning" 3 days; new project announces price increase; Shanghai's real estate "little spring" market trend is becoming clearer.

Source: Shanghai Securities News Author: Zhang Liang

It’s been nearly a “month” since Shanghai’s “Seven New Policies” for the real estate market were implemented. Recently, Shanghai Securities News reporters found that transaction volumes in the second-hand housing market have surged, with many indicators reaching new highs for the period. The new housing market is also experiencing a mild recovery, with some projects announcing price increases, actively reflecting optimistic expectations for market trends. All signs indicate that, under the precise support of the “Seven New Policies,” Shanghai’s real estate market is showing a trend of “increased volume and stable prices,” making the “small spring” market in March increasingly clear.

Market Activity Significantly Boosted

On March 21, a real estate agent near Yuchao Metro Station in Pudong New Area told reporters that recent market transactions have been very active. In the past week, three units at the Dijie International City community in Yuchao have been sold, and the agent has also facilitated a deal, with the client having already paid a deposit. He said, “Since the new policies, transactions have indeed become more active. Some properties sell within just three days of listing, and bargaining space for second-hand homes has shrunk. Landlords’ anxiety about selling has eased considerably.”

On the same day, the Pudong New Area Real Estate Transaction Center was bustling. By 11 a.m., the large screen at the real estate registration and transaction hall showed 55 service windows, 671 issued numbers, and 541 cases being processed. Staff told reporters that all windows are fully open on weekends, handling about 1,300 cases per day. Since the new policies, buying and selling outside the outer ring line has almost been unrestricted, leading to a surge in people. Plus, March and April are traditionally peak seasons for real estate transactions, so the high volume is normal.

Since March, the transaction activity in Shanghai’s second-hand housing market has rapidly increased, with many indicators reaching new highs for the period. Data from online real estate platforms show that from March 9 to 15, 2026, Shanghai’s second-hand home transactions totaled 7,233 units, a 26.69% increase from the previous week’s 5,709 units, also setting a weekly high since 2021. Notably, on March 14 (Saturday), 1,472 units were sold, just one unit shy of the 1,473 units sold on March 15, 2025. Additionally, on March 15 (Sunday), 1,390 units were sold, totaling 2,862 units over the weekend, breaking the recent five-year weekend transaction peak for second-hand homes in Shanghai.

According to Zhang Bo, Director of 58 Anjuke Research Institute, this surge in second-hand home transactions signals a trend of warming. Data from Anjuke’s online user behavior show that during the week of the policy implementation, the number of users initiating WeChat chats increased by 144.7% week-over-week, the number of initiating users increased by 133.7%, and the number of users leaving contact information increased by 251.8%. The WeChat contact rate also increased by 50.5%, and this upward trend continued into mid-March.

Recently, reporters visited the Minhang District Real Estate Transaction Center in Shanghai. Staff there said that since the new policies were introduced, the number of citizens consulting and transferring ownership has increased significantly, sometimes making it hard to find available seats even on weekends.

“Since the implementation of the new policies in March, the volume of second-hand home transactions has increased rapidly, characterized by fast speed, strong momentum, and broad coverage. The market’s heightened activity is the result of multiple favorable factors, including the continued release of policy benefits, restored confidence from price adjustments, and a reversal in supply and demand patterns,” said Yan Yuejin, Deputy Director of Shanghai E-House Research Institute.

Compared to the “explosive” volume in the second-hand market, the new housing market has been more moderate but also shows positive signs.

Recently, reporters visited sales offices of new projects in Putuo District, Jiading District, and Minhang District. On weekdays, some buyers still came to view properties. A salesperson at the China Overseas Huanyu Jiu Zhang project in Putuo said that on weekends, nearly 150 groups of clients visited in a single day, leaving sales staff overwhelmed and with limited time for detailed discussions. A salesperson at the Shidai Zhicheng project in Jiading said that after the new policies, project sales have doubled compared to the same period in January. A salesperson at the Poly Duhui and Huxu projects in Zhuanqiao, Minhang, revealed that on March 21, the project sold 16 units in a single day, and since the new policies, a total of 85 units have been sold. Starting March 23, the project will launch a second round of price increases.

According to Centaline Research Institute, from March 9 to 15, 2026, Shanghai’s new commercial residential transactions covered 220,000 square meters, a 62% increase from the previous week, reaching the highest weekly volume since 2026.

Lu Wenxi, a market analyst at Shanghai Centaline Property, believes that the “Seven Policies”—which include reducing housing purchase restrictions, optimizing housing provident fund loans, and improving personal property tax policies—have effectively activated latent demand through precise measures. The surge in second-hand transactions is not only a release of backlog demand but also a significant boost to market confidence. The steady recovery in new housing sales and some projects’ price hikes further confirm improved market expectations, with buyers more willing to enter the market and developers more confident about the future.

Mainly First-Time Buyers

It is worth noting that the recent market rebound in Shanghai is primarily driven by the concentrated release of rigid demand, with second-hand transactions showing a clear bias toward lower total prices. During interviews, many real estate agents reported that the market heat has increased, especially for small units priced around 3 million yuan, which are selling faster. Properties priced close to the recent transaction prices in the same community tend to sell more easily.

Recently, a real estate agency in Hong Song Road, Minhang District, told reporters that since the new policies were implemented, they successfully facilitated a deal. The client had been viewing properties since early February and finally purchased a one-bedroom unit priced at 1.86 million yuan.

“Small units are the most popular in our area,” said Luo Yangyang, the store manager. “On one hand, small units have lower total prices, fitting the budget of first-time buyers; on the other hand, when small units are sold, the original owners have the funds and motivation to upgrade to larger homes, which helps improve the circulation of better properties.”

According to Centaline Research Institute, from January to February 2026, nearly 17,000 second-hand homes under 3 million yuan were sold in Shanghai, a 25.2% year-over-year increase, accounting for 56.1% of total second-hand transactions during that period—up 6 percentage points from 2025. This structural change reflects that ongoing price corrections have made more homes affordable in the low-price range. With policy benefits being released, the willingness of previously cautious first-time buyers to enter the market has increased, boosting low-price transaction volumes.

This trend continued into March. Data from Lianjia shows that from the Spring Festival to March 19, over 60% of second-hand homes sold for less than 3 million yuan, a 4 percentage point increase from before the holiday.

Zhang Bo noted that, based on Shanghai’s transaction data, first-time buyers remain the core support, while improvement demand has a more noticeable impact on prices. In terms of regions, high-end improvement properties in core districts like Xuhui, Jing’an, and Changning, over 144 square meters, attract more middle- and high-end demand. In suburban areas, such as Baoshan, Songjiang, and Minhang, smaller units of 90 square meters or less are meeting significant spillover demand. The policy’s stimulating effect outside the outer ring is particularly prominent, with market activity increasing by over 17% compared to half a month before the Spring Festival.

“Currently, the main transaction hotspots for Shanghai second-hand homes are still concentrated outside the outer ring and between the middle and outer rings, focusing on first-time and improvement projects. Whether the market can sustain this depends on the transaction volume of homes priced between 5 million and 8 million yuan,” Yan Yuejin said. “According to the operation of the replacement chain, active first-time demand creates the conditions for improvement demand to ‘sell old and buy new.’ Recently, with more news of slight price increases, the wait-and-see attitude toward replacement demand is diminishing. It is expected that in late March and subsequent months, transactions of mid-to-high-end improvement properties and luxury homes will also pick up, expanding and transmitting market heat.”