Research on the Impact of the Rent in Shanghai Based on Multiple Linear Regression Model

Abstract

In today's era, renting has become one of the most important ways of living for young people. Therefore, finding the main influencing factors of rent has important guiding value for both tenants and the government. By establishing a multiple linear regression model, this paper analyzes about 2,900 rental data collected from Shanghai, and obtains the relationship between Shanghai housing rent and some main influencing factors. Some variables are processed to be incorporated into a multiple linear regression model. In the process of establishing the model, the variables that have a significant impact on rent are screened out by significance testing. The model shows that the zone where the house is located and the type of lease have a greater impact on rent, while other factors such as the size of the house have less impact on rent. These results can help tenants make better choice about which to rent and help the government to regulate rental prices.