Analysis of the housing price

The housing price is closely linked to national economy and people's livelihood, it also has a significant impact on the national economic development and social stability. As the housing price is increasing constantly, this problem has become a focus issue that draws public attention. This article will predict the house price and its rationality in the next few years. The question we are discussing can boil down to a binary linear regression problem. Per capita disposable income and building costs are two main factors that affect the housing price. Here we take Beijing, Anhui and Ningxia as research objects. By using data from China Statistical Yearbook which are attested to be normally distributed, we get the linear regression equations. In equations, local average house price is used as dependent variable, and the household disposable income and costs of construction are independent variables. © 2014, Journal of Chemical and Pharmaceutical Research. All rights reserved.