Spatial Econometric Analysis of Housing Price in the City of China

The real estate market is the important proportion of China's economy. The price of housing in city is focused by more and more people and scholars. The paper introduced research status of main body of time series analysis which has few of cross-section analysis and especially lacks spatial econometrics analysis. This paper uses spatial econometrics model and analyzes the housing prices in city and its influencing factors based on spatial samples of China's 35 metropolis from January to April in 2009. The results show that there is spatial interdependence of the price of housing in cities, and the housing price is influenced collectively by its neighborhood. The decision-making sector of the government has to consider the spatial interaction mechanism when establishing the housing price policy.