(ECNS) -- The real estate market in Shanghai is displaying unusual buoyancy with more than 1,700 new homes being sold on Thursday, ahead of the municipal government's new real estate policies being rolled out, National Business Daily reports.
In the past week, the average daily sale of new houses was 800, while in March last year it was only about 170. Deals on Thursday marked an explosive growth in China's financial hub, which overwhelmed the local government's online registration system and forced staff to work longer.
Online real estate data shows that there is a "huge appetite" among investors to buy properties with 11,000 homes having been sold in the last month, setting a new record for house sales, the report said.
The Shanghai Municipal Government held a press conference on Friday to introduce tightening policies in a bid to cool the city's overheated housing market.
The policies include a minimum 70 percent down payment for second-home buyers if the property is defined as a "non-normal" home, or a minimum 50 percent down payment for second-home buyers who buy "normal" houses.
Before the policies were introduced, there has also been a huge rise in activity and offers from real estate enterprises.
Last week, the supply of new housing in Shanghai reached 190,000 square meters, entering a new house-supply climax period, according to the report.
Shanghai Homelink Real Estate, an agent helping investors find and buy properties, said it had seen an increase in interest from clients trying to strike deals ahead of the upcoming policies.
