China's Real Estate Prices Affect The Factor Analysis

Real estate is an important part of national economic system, it's stability of the development has a very significant impact to the national economy. If the scale of real estate investment is appropriate to the economy development and operate healthily, it will play a strong pull on the role of the national economy; The contrary, if the scale of real estate investment isn't appropriate to the economy development, it will be a bottleneck that hinders the normal operation of the national economy when the total of real estate investment is lack; And led to rapid increase in demand, forming real estate prices rapid and continue to rise, thus causing the market bubble. If don't control in time, it certainly will cause serious economic losses once the bubble burst.The paper get following conclusions through the statistics obtained in recent years: 1.Theere are some bubble factors in China's real estate market, but is not serious in most regions; 2.Real estate prices continued to rise since 2006 let the market bubble has a tendency to increase; 3.The housing market bubble is relatively less. In other words, this paper considers that the recent price of our real estate market presents a "whole stable of local bubbles" trend. The purpose of this study is by analyzing the various factors that led real estate prices continued to rise, proposing some effective policy recommendations to maintain the price of real estate stable in the basis of this conclusion.The paper thinks that the factors to promote China's real estate prices continue to rise are mainly in the following:1.The limited land resources. Per capita land area per capita land area in particular, too few cities, in urban construction, there are still construction land use of the extensive waste of serious phenomenon, also led to urban real estate can make use of scarce land resources; 2.Lead to the development of urbanization rising real estate prices. Urbanization will inevitably lead to major shifts in population, the city have been expanding, increasing the number, which means there will be a huge demand for real estate; 3.Investment, speculation on the real estate prices. With the rapid development of China's national economy, a huge number of savings release of nowhere, people need to multi-channel, multi-variety, high-yield investment channels, but real estate is the best under the current inflation expectations and increasing the value of the investment products; 4.China's current system of land reserve. Under the existing land reserve system, the land transfer has become the second local government finance, land prices rising real estate prices has been an important and direct reason for the; 5.China's current system of housing security. At present, China's housing security system still exist such as defects and affects its macro-control effects of the play, our real estate market trends in prices and not have a decisive effect; 6.Psychological expectations and cultural factors. Consumer psychology for the future real estate demand is expected to have a direct impact would be. Mental expected to include two categories:one is people's expectations of macroeconomic policies; the other is the consumer market by a variety of "illusion" created by the blind and biased or even misguided expectations.The paper propose some related policy recommendations that stabilizing real estate prices in China as follows:1. Rational planning, intensive use of land, improve the efficiency of urban land use; 2. To promote the integration of urban and rural construction, building a small triage center city urban population transfer pressure; 3.Broaden the financial investment channels, abundant investment products. This would divert gathered in the real estate market investment and speculative capital; 4.Promoting land reserve system reform. Specific benefits include improving land distribution system and to determine a reasonable price and perfect China's land reserves and the supply mechanism; 5.A sound social security system of housing, specifically including improved housing provident fund system, system of affordable housing and low-rent housing system and the creation of housing saving system, to play their home prices to stabilize the macro-control function; 6.a sound management system, the real estate market, specifically including changes in the supply of regulation by the real estate market, real estate information disclosure and the establishment of early warning systems and to limit foreign access to domestic real estate market.