The Zhitong Finance App learned that domestic housing stocks generally rose in early trading. As of press release, Jinhui Holdings (09993) rose 12.95% to HK$3.75; R&F Real Estate (02777) rose 5% to HK$1.05; Sunac China (01918) rose 4.64% to HK$1.58; and Vanke Enterprise (02202) rose 3.23% to HK$6.07.

According to the news, following Shanghai's introduction of a new property market policy, Guangzhou and Shenzhen followed suit. Guangzhou abolished the lower interest rate limits for the first and second commercial mortgages, and adjusted the minimum down payment ratios for the first suite to 15% and 25% respectively. Furthermore, the lower interest rate limit for mortgages was abolished, and the “three suite” loan policy was liberalized. According to the “Shenzhen Release”, starting May 29, Shenzhen will lower the minimum down payment ratio and lower interest rate limit for personal housing loans.

Guojin Securities said that a series of recent policies fully reflect the central government's determination and strength to support the stabilization of the real estate market. At the same time, follow-up policies and major adjustments can still be expected, which are expected to continue to improve the market's expectations for real estate and boost confidence in all aspects. Although it will take time for fundamentals to be repaired, the reaction of stock prices is usually faster than the recovery of fundamentals, and the market expects to improve or is confident that real estate stock prices will rebound rapidly after restoration.