The research of influence factors that possibly lead to the change in house prices

Abstract

With the significant increase in housing prices, more research on the factors that influence housing prices is urgently needed. Most of the previous research focuses on the number data, such as the average disposable income of the population, property management fees, and the total number of the population in specific areas. In this research, the multiple linear regression model is used to judge the relationship between 10 independent variables (Carpet area, Floor, Total floor, Transaction, Furnishing, Facing, Bathrooms, Balconies, Car parking, and Ownership) and the amount of housing prices based on 910 cases. It is concluded that the ten independent variables all have strong linear relationship with the Amount. With the factors that were studied before, like the ages of the house and the policy for buying homes, these studies indeed give some ideas for the government to come up with the approach to control the increase in housing prices.