Research On Sales Comparison Approach Of Commercial Residential Buildings Price Appraisal And The Hedonic Price Theory In The Application Of Sales Comparison Approach

After being established the position of pillar industry for national economy, thereal estate industry has gone through a rapid development in the past20years. What’smore, price evaluation applied to this industry plays a significant role in theimplementation of levying property tax.Among the many price evaluation approaches, sales comparison approach isconsidered as the most applicable and important approach which has achieved a longhistory for development.At present, this approach has implemented its system to better apply tocommercial residential buildings and affordable housing. But the disadvantage lies onthat human’s subjectivity is likely to result in inexact conclusion.This paper mainly focuses on using mathematical statistics to analyze the salescomparison approach.only by improving and implementing this approach will peopleget more objective and precise result.This paper combines hedonic pricing theory with sales comparison approach toestablish a model of price evaluation for commercial residential buildings aiming atmaking up its shortcomings and reducing the subjective effects.Firstly, this paper points out the present deficiencies of sales comparisonapproach and briefly introduces the hedonic pricing theory.Then, on the basis of worldwide documental conclusion, we exercise an analysisof price factors for commercial residential buildings.Thirdly, we carry out a study on the hedonic pricing factors of commercialresidential buildings and propose the approach of factor adjust based on the theory ofhedonic price.Finally, based on the hedonic pricing theory, establishing a price evaluationmodel for commercial residential buildings is integral.