| Event-Study Method is widely used in corporate field to study the impact of event on stock price. Nowadays the method is more and more frequently applied in the field of industrial economy. This paper tries to use this method to inquire the economic impact of financial regulation policies on real estate industry.In this paper, we follow the extant literature and employ two multivariate regression models, estimated by seemingly unrelated regression method, in order to examine the short-term economic impact of financial regulation policies on real estate industry. When finding out the event date, we compute the cumulative abnormal return of stock, which is the difference between real return and normal return during the event window, to inquire whether the cumulative abnormal return is significantly different from zero, so we can finally find the impact of the event.The econometric result indicates that a series financial regulation policies has exerted significantly negative cumulative abnormal return on real estate listed company, at the same time, the systematic risk of stock significantly rises. For the real estate listed company can't represent the whole real estate industry, this paper also employs the National Real Estate Index to study the whole industry, at last the same conclusion is reached.In addition, to testify the internal reason of the existence of cumulative abnormal return, cross-sectional analysis is also conducted. The result indicates that with bigger capital scale, more perfect monetary system and more capital, the impact on real estate listed company will be more insignificant.Considering the econometric results and the present condition of real estate industry, the paper gives proposal as follows: the real estate industry should perfect monetary system as soon as possible and adopt the Real Estate Investment Trusts, to satisfy the capital demand of real estate developers as well as the investment and consumption demand of investors.
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