The Relationship Between Housing Price And Bank Credit In Third And Fourthtier Cities In Hubei Province

China's real estate industry has developed rapidly since the market-oriented reform and become an important part of the national economy.As a capital-intensive industry,real estate industry,the demand for money is big,and the cycle is long,high dependence on bank credit,bank credit and the relationship between real estate is increasingly close,the house price volatility or bust,will lead to huge risks to the banking system,so the bank credit and the relationship between real estate prices to stabilize the development of the real estate market and avoid the bank's credit risk is very important.The real estate market in hubei province is developing rapidly.In 2017,investment in real estate development in hubei province reached 457.5 billion yuan,up 6.5 percent year-on-year.As a provincial capital city,wuhan has a huge gap with other cities and counties in hubei province in the development of real estate industry.In addition,various policies of purchase and loan restriction in wuhan allow more real estate resources to flow to the surrounding third-tier and fourth-tier cities.The development of urbanization and the transformation of shantytowns also increase the rigid demand for real estate in these cities.Yichang,xiangyang,shiyan and other areas of the real estate market began to be active,rising prices,but at the same time facing high inventory.Taking shiyan city of hubei province as the research object,this paper studies the relationship between bank credit and real estate in third-tier and fourth-tier cities,so as to provide development ideas for the real estate industry in third-tier and fourth-tier cities in hubei province and even in China.In this paper,the relevant theoretical content of the comb,the use of empirical methods for research.By reading literatures to understand the mechanism of action between bank credit and real estate industry,when the bank credit scale expands,it will stimulate both supply and demand to become higher,but because the supply elasticity of real estate is far less than the demand elasticity in the short term,it will drive the rise of housing price.Changes in housing prices will in turn affect the credit scale of Banks.When housing prices rise,it will send a signal to the market that they will continue to rise in the future.Banks,developers and residents will have good expectations of real estate and increase the loan volume.Then the real estate market in shiyan city and the status of bank credit analysis,according to their fluctuation trend,analysis of their possible relationship.Through empirical analysis of the relationship between bank credit and housing price in shiyan city,four variables are selected,that is,total real estate loan,real estate development loan,personal housing loan and average sales price.It is concluded that bank credit in shiyan city has a more significant impact on real estate,while housing price has a relatively limited impact on bank credit scale.In addition,the empirical results show that only real estate development loans and housing prices have a two-way mechanism,and personal housing loans can only affect the housing price of shiyan city,and real estate prices can not affect the scale of real estate housing loans in shiyan city.According to the results of empirical analysis,ombined with shiyan city's own situation to put forward countermeasures and Suggestions,focusing on reducing bank credit risk,adjusting the credit structure,destocking and rational development,etc.,to build a stable real estate market,correctly guide the real estate credit trend,and establish a rational sense of investment.