Research On The Factors Affecting The Capital Structure Of Real Estate Companies

The real estate industry plays an important role in the economic development of our country,and its sustained and healthy development has a direct impact on the healthy development of China's economy.The capital structure in the real estate enterprise is an important part of the management,capital structure is the proportion problem on corporate debt and equity,the reasonable capital structure can reduce the weighted average cost of capital,to enable enterprises to achieve maximum value.In order to achieve effective management of enterprises,we need to understand the factors that affect the capital structure of enterprises.Firstly,this paper describes the research status and theoretical basis.Second,the this paper describes general situation of the real estate industry and the capital structure of the industry,we understand that China's real estate industry is the largest asset liability ratio in non-financial sectors,the main component of the capital is domestic loans,the impact of the national environment is relatively large.Again is a research model,one is about the company characteristic factors of capital structure model,represented by the seven companies financial benefit level,company size,growth,development ability and asset operational condition and solvency,ownership structure and asset guarantee ability of characteristic factor and the rate of assets and liabilities of the regression equation,the relationship between these factors and capital structure;on the other hand,is based on macro factor model,with the rate of inflation,national public expenditure growth rate,the growth rate of GDP,the loan interest rate of the four factors and the capital structure of the regression equation,the relationship between these factors and capital structure.Finally,the paper puts forward some suggestions to optimize the capital structure of China's Real Estate Company.