Analysis Of Real Estate Market Price And Research On Balanced Development Strategy

As the emerging industry of China, real estate industry has been making significant contributions both on rapid growth of national economy and the improvement of dwellers'residential status. And there are more than ten industries have been driven by the development of real estate industry. With the boosting of industrialization and metropolisation of china, the real estate is deemed to have bright future with huge potential. In latest years, a set of policies, known as the New Dealer in real estate were laid out by Central Government to stabilize housing price. Unfortunately, there still are a lot of roadblocks and challenges on the way of New Dealer's implement. Meanwhile, the market adjustment and development are embarrassed by the sustaining increase of commercial housing price, however the real estate market has experienced a series of macro economic control. The fundamental reasons result in above phenomenon include: irrational supply and demand, skyrocketing land cost and lack of restriction of high-profit. Thus, only if the macro economic control is made basing on both supply and demand structure and the land cost, could China real estate market get balanced development. In addition, to improve the balance of supply and demand, to restrict the price of land and to restrain the profit of real estate, the corresponding measures in terms of politics, economy and law should be implied as well.This paper examined the essential reasons inducing rapid increase of housing price, applying the methodology of equilibrium principle of micro economy and the sensitive analysis of feasibility study of real estate investment. One of the reasons is the conflict of market structure and the unbalanced supply and demand. On one hand, the problems, including unreasonable housing supplying structure, inefficient accommodations and structural illogicality are prominent. On the other hand, the structure of demand is reasonless. For example, speculation and investment in real estate market has become more active, arising great passive demand. Another reason is the over speeding land price. As the land cost has become a vital element influencing the housing price, undoubtedly, the double-quick increase of land price will push the real estate market price higher and higher. Besides, the paper details interrelated benefit analysis on real estate project, probes the cost structure and sensitivity factors of housing price, via the case study.The general purpose of this paper is to identify the main reasons of housing price rising, with the clue of"what, why and how". And on base of intensive research, a series suggestion and advices are made in political, economic and law aspects to facilitate the healthy development of real estate market, through controlling land price, settling conflict of supply and demand and refraining speculative activities, etc.The methodology of equilibrium principle of micro economy and the sensitive analysis feasibility study of real estate investment, applying in housing price analysis, contributes to the practicability and pertinency of the paper. And the measures and suggestions mentioned in paper also have significant guidance effect in real market.