Sales of luxury homes in Shanghai surged 39% YoY in the first half of 2024, despite a broader slump in China's real estate market. The city saw 1,544 luxury units sold, driven by wealthy individuals upgrading to newly built properties in prime locations. Analysts attribute the surge to strong demand among affluent buyers and recent supportive government measures, including lower mortgage rates and reduced down payment requirements. While overall property sales and investment in China have declined, luxury real estate in Shanghai remains highly sought after due to its limited availability and new policies that have eased restrictions on property ownership. Expectations for the luxury market vary, with some anticipating a slowdown in the latter half of the year, while others remain optimistic about continued growth.