Shanghai introduced a set of initiatives on Monday aimed at boosting the property market, notably lifting purchase restrictions on suburban homes.

The measures are set to take effect on Tuesday, according to a notice issued by six local authorities, including the Shanghai Housing and Urban-Rural Development Commission.

The announcement stated that families with local household registration, as well as those without but who have at least one year of social insurance or income tax records in Shanghai, will face no restrictions on buying homes outside the outer ring road.

Adult singles will be granted the same privileges as families, Shine News reports.

In addition, the circular also indicated that homebuyers will benefit from enhanced housing provident fund support.

Furthermore, purchasers of new green homes can access up to 15% more in housing provident fund loans. For first-time homebuyers, the loan ceiling is raised to 1.84 million Yuan (approximately $258,600), while families with multiple children can borrow up to 2.16 million Yuan.

Homebuyers will be allowed to use both their own and their spouse’s housing provident fund for the down payment on new pre-sale commercial properties.

Additionally, banks will treat first and second home purchases the same, easing the interest burden for buyers, as second homes typically carry higher mortgage rates.

Families without local household registration will receive a temporary exemption from property tax on their first home purchase. For second and subsequent homes, each family member will be granted a 60-square-metre property tax exemption.