Study On The Influencial Factors Of Residential Real Estate Price Based On The Dual Characteristics

The real estate industry,a basic and leading industry with a high relevance and a strong driving force,plays an important role in the Chinese national economy by improving people's life.Besides,the real estate is very important to people's livelihood and well-being of residents,and as result,there is the need to have a healthy and stable real estate price development.Chengdu is famously known as ?land of abundance? and is an important economic center of Southwest China.Using Chengdu as a case study,the thesis research into the influencing factors on real estate price.The Influencing factors of real estate price was separated into real estate characteristics and regional characteristics based on the equilibrium price theory and hedonic price theory of supply and demand.Firstly,based on the previous research and the data's validity,10 real estate's characteristic variables and 7 regional characteristic variables are selected.Secondly,through the measurement of variables and the data collection and screening,we identify 671 real estate samples and 10 regional samples.Finally,through the correlation analysis between variables and collinearity diagnosis,highly relative variables are eliminated and 7 variables of real estate's characteristics are retained.7 variables include category,volume rate,property management,neighboring schools,entertainment and leisure convenience,and distance from CDB and traffic conditions.3 characteristic variables of regional location include GDP,amount of investment and land price.The thesis adopts empirical research.Firstly,the impact of real estate characteristics on real estate price was considered separately.The regression results show that the real estate characteristics impacting on real estate price in Chengdu city includes distance from CBD,property management,property category,volume rate,entertainment & leisure convenience and traffic conditions.Secondly,the thesis looks at the impact of regional characteristics on real estate price.Using the hierarchical linear model,factors of the real estate characteristics and regional characteristics are used as explanatory variables model's in the 1st and 2nd layers to research the influence on real estate's price and the layers interaction between the two variables.The results showed that real estate price is not only influenced by real estate characteristic factors,but also influenced by regional characteristic factors.Moreover,the results show that regional characteristic factors have more influence on real estate price than real estate characteristic factors.For real estate characteristic factors,property management has the most positive correlation on the price.Real estate category,distance from CBD and volume rate has negative correlation on the price.Entertainment & leisure convenience,location of schools and traffic conditions has little influence on the price.For regional characteristic factors,GDP and land price have negative influence on real estate price.However,the amount of money invested in real estate development has the likelihood of impacting on the transaction category of real estate price.