Longfor Group's stock soared 5.03% during intraday trading on Monday, reflecting strong buying interest in the real estate developer.

The surge follows the absorption of short-term selling pressure from the company's recent scrip dividend scheme, which involved approximately 55.77 million new shares listed earlier this month. With this overhang largely cleared, the stock has sustained a multi-day rebound.

Sentiment across the real estate sector has been lifted by policy support from Shenzhen, which implemented a further relaxation of housing purchase restrictions and a comprehensive increase in housing provident fund loan limits. This has boosted expectations for a release of upgrader demand in the property market.