According to new rules, Shanghai families with one property will have to pay a minimum 50% down payment for a second home, with the down payment raised to 70% if the house is either above 140 square meters or priced above CNY4.5 million located within the inner ring. The home-buying barrier is even higher for families with no permanent residency, because they are required to pay tax for at least five years in a row before buying a property in the city. The new policy won’t impact first-home buyers and long-time non-local residents.