Research On The Regional Difference In China's Real Estate Market

Since China begin the housing commercialization in1998,the real estate market developed quickly.On the one hand,the development of real estate play an important role in the development of economy,on the other hand,if the development rate of real estate slow down,it will affect the development of economy as well.The real estate market is regional in nature,it can't be developed by one way.The characters of real estate in different region should be analyzed carefully then take different strategies of development.In the paper,I divided 285 cities into five clusters through cluster analysis.Then through the analysis,I find that the economic factors,financial factors,infrastructure factors and policy factors are the reason for the difference of real estate market among 285 cities,then I analyze the factors influenced the real estate market with the spatial econometric analysis for the five regions,I find that,on the one side the real estate market grows,the positive impacts of it to its neighbor cities decrease.One the other side,the negative impacts of one city's gross domestic product(GDP)increase.More importantly,in most of the cities the development of finance has a positive impact on the real estate market in its neighbor cities.At last,building upon the different effects of the four factors,policy implications are provided to the citiesThe contributions of this paper lie in three parts.First,there are many papers research the factors affecting the real estate,mostly of which concerns the factors affecting the price of real estate in big cities.In this paper,I consider four factors to describe the development of real estate not only the price.Second,the sample in this paper is larger which contain 285 cities in China.Third,spatial econometrics is employed to identify the spatial interactions of those factors among cities.