On Monday, Chinese property sector stocks traded higher. As of press time, Fangdd Network Group (DUO.US) surged over 12% to $1.635, while KE Holdings (BEKE.US) climbed over 2% to $18.94.

On the news front, the property sector received a significant policy boost as Shanghai's Housing and Urban-Rural Development Management Committee, Municipal Housing Management Bureau, and four other departments jointly issued the "Notice on Optimizing and Adjusting the City's Real Estate Policy Measures." The policy encompasses six adjustments covering housing purchase restrictions, provident fund, housing loans, and housing taxes. The new policies will take effect on August 26, 2025.

Among the key changes, purchase restriction policies underwent major adjustments. Qualified families can now purchase unlimited units outside the Outer Ring Road; single adults are treated as residential families under the housing purchase restriction policy; provident fund accounts can be used for down payments; and commercial loan rates no longer differentiate between first and second home purchases.