Empirical study on influencing factors of China´s real estate prices after financial crisis

Since the international financial crisis of 2008, the real estate prices in main developed countries dropped significantly, while the prices in China rose rapidly. In China, the real estate prices appeared some new characteristics, such as prices fluctuations were closely related to the money supply and government policy, and the real estate market played an important role in economic growth. In this paper, we use panel data model to study the influence factors of China´s real estate prices after the international financial crisis. Results show that money supply, GDP and residents´ income are the main factors to promote real estate prices. At last, this paper puts forward policy recommendations to curb real estate prices. Such as the government should control the money supply growth, narrow income gap and guide price expectations.