(Yicai Global) June 7 -- Shanghai's property market is recovering quickly after the two-month Covid-19 lockdown as the transaction area of new housing more than doubled last week from the one before that.

From May 30 to June 5, the transaction area of newly built residential buildings in Shanghai reached 88,400 square meters, up 142 percent from a week earlier, according to data disclosed by Hong Kong-based Centaline Property yesterday.

The Dragon Boat Festival played a role in reversing the housing trend. During the three-day holiday that ended June 5, some 31,200 sqm of new home deals were completed. 

It is becoming easier to buy housing. Property agents said to Yicai Global that down payments have been slashed to half to speed up recovery. Some down payments equal just 10 to 15 percent of the full listing price instead of 20 or 30 percent. Moreover, proof of funds requirements have been loosened while other support measures may be rolled out later.

On May 29, the city government issued a plan to accelerate economic recovery and revitalization. It includes promoting the healthy development of real estate investment, timely launching of new residential projects, and perfecting real estate policies to support the rigid and improving housing demand. 

Supply is recovering. Some six residential projects were listed last week with a total area of 257,700 sqm, a number that was normal before the pandemic, according to the property agency.

The eastern metropolis' land auctions were resumed on June 1. The first batch of 36 residential plots with a total area of nearly two million sqm were sold, and the starting price exceeded CNY80 billion (USD12 billion), public information shows.

Editors: Dou Shicong, Emmi Laine, Xiao Yi