Core Insights - The rental market in Shanghai has shown a strong performance in terms of listing rental prices compared to other first-tier cities, with a 13.3% increase from the beginning of 2021 to June 2025 [1] - In the second quarter of 2025, Shanghai's listing rental prices began to stabilize and show signs of recovery, reaching an average of 80.4 yuan per square meter per month [3] - The internal structure of the rental market in Shanghai has displayed significant regional disparities, with core areas experiencing price declines while suburban areas have seen price increases [5][8] Rental Price Trends - Overall, the rental prices in Shanghai have been on a downward trend since 2024, but signs of stabilization emerged in the first half of 2025 [3][16] - Core areas such as Huangpu, Changning, and Jing'an have seen year-on-year rental price declines of 6.9%, 4.5%, and 4.3% respectively, while suburban areas like Jiading and Putuo have experienced increases of 5.7% and 5.5% [5] Supply and Demand Dynamics - The overall online listing volume in Shanghai has decreased by 10% year-on-year, with demand also down by 3.1% [8] - The supply and demand in major rental areas like Pudong and Minhang have decreased, with Pudong's demand share dropping by 1% [8][9] - The demand for lower-priced rental units (501-3000 yuan/month) has increased, with 51.4% of demand concentrated in this price range [11] Housing Type Preferences - The primary demand remains focused on one-bedroom and two-bedroom units, which account for 76% and 77% of total supply and demand respectively [14] - There is a notable increase in demand for two-bedroom and three-bedroom units, indicating a rise in co-living arrangements due to cost considerations [14][16] Summary - The Shanghai rental market has shown signs of price stabilization, but overall listing volumes and demand have decreased compared to the previous year. The market is characterized by a shift towards more affordable rental options, particularly in suburban areas, as renters prioritize cost-effectiveness in their housing choices [16]