A Study On The Policy Factors Of Rising Price Of Commercial Housing In Third&Fourth Tier Cities

With the acceleration of urbanization,housing problems become an issue related to the vital interests of each family.The role of the government in this market is the policy makers,and timely introduction of relevant policies to regulate the real estate market.Due to the rapid rise in house prices in the first and second-tier cities,the government has successively introduced corresponding regulatory policies,which have led to a stable housing price in big cities.However,large-scale real estate companies have changed their strategic plans and moved to third-and fourth-tier cities.Real estate development in the third and fourth-tier cities has been extremely hot.Until 2014,the third and fourth tier cities had high stocks,and the government issued a series of policies to “rescue the market.” In December 2015,a central economic work conference was held to encourage farmers to buy houses through the financial subsidies to resolve real estate inventory pressure.Since the beginning of 2016,the price of commercial house in Third and Forth tier cities had picked up.Especially in the past year,the price of commercial house in Xinxiang has soared.In the face of rising house prices,most people can understand economic factors such as unbalanced supply and demand,rising land and raw materials costs,but few people can see through the policy factors behind rising house prices.This article is an empirical study of the impact of central and local policies on house prices based on changes in house prices in Xinxiang City in 2016 and 2017.The analysis confirmed that both the real estate sector policy and other areas of the policy will have a corresponding impact on the price of commercial housing.The central government policy has a long-term and stable impact on urban housing prices.Local policies have a short-term and significant impact on urban housing prices.The main object of this article's investigation and analysis is the real estate market and government polices of Xinxiang City.The main purpose of this study is threefold: First,to understand the relationship between government policies and house prices in a theoretical way.Second,to find out the problems and risks through the investigation and analysis of the real estate market in Xinxiang City.Third,theoretically explain and analyze the problems found in the investigation,then try to make reasonable suggestions.