Residential water use is gradually becoming the focus in China's municipal water supply planning and management in recent years. Little is known, however, about the residential water use in modem China due to the transition of economy and enhancement of management on water conservation. In order to better understand the characteristics of residential water use in North China, a model for identifying the determinants of residential water use was established and analyzed by using panel data and cross-section data methodologies. Then Taiyuan city, the capital city of Shanxi Province in Northern China was selected as a case study. Both the analyses and field investigation indicate that the relatively slow increase of residential water use in recent years may result from the implementation of strict laws and regulations on water conservation. And through the investigation, first-hand information about water consumption pattern, water reuse/conservation, people's attitude toward water quantity and quality, etc. have been obtained.