Shares of KE Holdings, the operator of China's popular housing transaction platform Beike, surged over 5% on Thursday after a report that Chinese regulators are considering relaxing homebuying restrictions for non-local buyers in major cities like Shanghai and Beijing.
According to Bloomberg News, the proposed measures aim to boost housing demand and support the real estate market, a key pillar of China's economy. If implemented, the relaxation would allow residents from other cities and provinces to purchase properties in these mega cities more easily.
The news fueled a broad rally in Chinese property developers' stocks, as the potential policy shift is expected to spur housing transactions and benefit companies operating in the sector. In addition to KE Holdings' 5.7% jump, shares of Longfor Group, Sunac, and Midea Real Estate all saw significant gains.
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