The Impact Exerted By Land Listing Prices On The Commercial Residential Building Prices In Hohhot

In1996, Shanghai City Land Development Center, the first land purchase and reserve institution in China was set up. Since then, more than200such institutions have sprung up like mushrooms in cities across the country. Due to the newly launched policies over the past decade, the land-right transfer has shifted from agreement-based to land-listing-based, which directly leads to an increase in land price. At the meantime, the prices of commercial residential buildings have also been raised due to such factors as rapid economic growth, people’s wellbeing enhancement and the accelerating progress of urbanization. Whether there be coincidence or factual linkages between the price of land right and commercial residential buildings, it has become a hotspot issue in social and academic circles. There are suspicions that the increase of one of the two does push forward the other. Therefore, an understanding of their relationship might help us in formulating a more effective real-estate policy, making full use of land resources in both rural and urban areas, stabilizing land price and house price, and ensuring everyone an affordable house.Taking the impact exerted by land listing prices on the commercial residential building prices in Hohhot as the subject, the thesis makes analysis of the land listing data in Hohhot during the period from Year2005to Year2011. The analysis shows that there are small fluctuations in the per unit floorage land premium in2011, whereafter the land premium rockets. In comparison, the prices of commercial residential houses are consistently on the rise with an annual growth rate of14%. These figures might somehow demonstrate that the increase of house price and land price are not linearly correlated; in other words, the rise of land prices in Hohhot does not necessarily lead to the house price hikes.To conclude, the thesis has provided six suggestions on house price control in Hohhot:(1)To strengthen government regulation;(2)To make prudent planning, enhance management and improve macro-control of land-right transfer;(3)To push forward the construction of land market and optimize the allocation of land resources;(4)To tap the land potential and invigorate the stock of land;(5)To restructure the land supply system in Hohhot so as to make full use of local land resources;(6)To perfect the dynamic monitoring system on city land prices.