Core Insights - The Shenzhen real estate market experienced a decline in both new and second-hand residential transactions in October, marking a cooling trend during the traditional peak season [1][3] - The decrease in transactions is attributed to several factors, including the impact of the National Day holiday, a reduction in attractive property options, and a high base effect from the previous year's market activity [1][3] - Despite the downturn in October, there are signs of recovery in November, driven by positive news such as the selection of Shenzhen as the host city for the 2026 APEC meeting, which has stimulated buyer interest [4][5] New Housing Market - In October, Shenzhen's new housing transactions totaled 3,352 units, reflecting a 29% month-on-month decline, with residential sales at 2,651 units, down 14.1% [1][2] - The supply of new homes was active, with 4,143 new units approved for sale, a 2.3% increase from the previous month, and residential supply surged by 37.9%, reaching the highest level in three months [2] - High-end market segments saw notable activity, with several luxury projects experiencing strong sales and new developments set to enter the market by year-end [2] Second-Hand Housing Market - The second-hand housing market also showed a month-on-month decline, with 5,276 transactions recorded, down 6.8%, and residential sales at 4,196 units, down 7.7% [3] - The decline was influenced by the holiday season and a decrease in buyer urgency following a busy September, leading to a need for more time to compare properties [3] - Despite the overall decline, the second-hand market maintained a robust performance, with transaction volumes exceeding 5,500 units for eight consecutive months, and prices showing a slight increase [3] Market Outlook - November began with a strong performance in the Shenzhen real estate market, attributed to the APEC announcement, which has led to increased buyer activity in both new and second-hand markets [4][5] - Recent policy signals from central and local governments indicate a focus on high-quality real estate development and risk management, with over 510 policy measures introduced this year [6] - The market is expected to face pressure due to high base effects from the previous year, but new supply and ongoing demand may support sales in the coming months [6]