On The Application Of Hedonic Price Theory In Real Estate Price Index Establishment

Real estate price index is a relative quantitative indicators that reflects the changes of the price in the real estate market in different periods,It's a so-called "pure price index".The price index reflects the changes of price that caused by supply and demand of the market and the purchasing power of the currency. And get rid off the changes of price that caused by other factors such as the quality of the property.This calls for the base period comparison of real estate and real estate reporting period with the same quality, maintaining the property, "homogeneity." Because of the property's own "individual", calculation made for other ordinary commodity price index calculation is difficult to directly applicable to real estate commodity price index compiled .Hedonic price theory is an important theoretical basis in foreign real estate price index. According to China's property market is now in the status and development trend I think it is appropriate Hedonic Price Theory as part of the preparation of the property index theory, to further improve China's real estate price index. From real estate price exponent in common use establishment, method structures the main body of a book for start , drawing off hedonic price theory, adopt the hedonic price model to carry out real estate price exponent establishment studying providing the rationale and the model drawing experience. Analyse application weaving in real estate price exponent explaining the hedonic price model by the fact that model variable choice , sample book data collecting , the model structure building , function form choice waiting for aspect's, the exponent establishment provides a train of thought to our country real estate price thereby.