Factors affect the housing prices in China: a systematic review of papers indexed in Chinese Science Citation Database

Abstract

PurposeThis paper aims to explore the factors that affect housing prices as per Chinese articles indexed in the Chinese Science Citation Database (CSCD). There were different foci regarding what drove housing prices in China in Chinese articles, and international journal articles in English. As most previous English articles only threw light on international research, it motivated the researchers to systematically review Chinese literature’s factors that affected housing prices in China.Design/methodology/approachThis paper reviewed housing price research articles indexed in the two largest Chinese academic research databases: the CSCD and China Knowledge Infrastructure Engineering Database (CNKI.NET). It systematically collected the data and adopted descriptive analysis techniques and synthesis.FindingsThis research reviewed the literature published from 2015 to 2020 and revealed some unique factors affecting China's housing prices. For example, research focused on administrative aspects such as macroeconomic regulation and control (often known as macro control). Authors of Chinese articles suggested that the two-child policy affected housing prices, which differed from that in the English journal articles. The research results implied that researchers should read top Chinese journals on top of good international journals when they study China's real estate market in the future.Research limitations/implicationsBecause the domestic real estate market started late, domestic real estate transaction data and real estate-related statistics are more difficult to obtain. The research is mostly based on the relationship between supply and demand, government policy and individual consumer factors, and the sample has a short time span.Practical implicationsAs China is a planned economy country, administrative factors are one main factor that affects the housing price. There were a significant number of articles in Chinese that considered this factor to be the main driver of the real estate price. It included government investment and macro-control, i.e. direct government intervention to cool down the overheated economy. Yet, there are few English articles that threw light on this factor including the commodity housing supply and government behaviour that affect housing price. The second-child policy, which is unique in China, also played an important role in the determination of the housing price. In the articles indexed in CNKI, the second-child rate, willingness to have a second child or having a second child were mentioned in the Chinese articles but not the English ones.Social implicationsIn this paper, the economic, social, administrative and environmental factors were summarised, which basically covered all the factors affecting housing prices. The administrative factors were a special group of factors that affect the housing price because of the country's planned economic system. Secondly, it provided useful information to real estate development enterprises in China. To make a correct investment and management decision, real estate development enterprises must understand the actual situation and possible problems of the industry. In this study, we analysed the research literature on the real estate industry in China for the period from 2015 to 2020 one by one and determined the influencing factors of the housing price, which provided references for effective cost control. Thirdly, it allows the public to understand and grasp the real estate industry. As the housing price has been continuously increasing, the public pays increasing attention to the real estate industry. Through the literature analysis of the impact of real estate prices, this paper revealed the elements of house price expenses, which makes it convenient for ordinary people to understand the real estate industry.Originality/valueThis study allows foreigners who do not know Chinese to know more about factors that drove housing prices from the Chinese perspective. It also provides insights to overseas developers who wish to enter the property market in China. The results can be generalised to other non-English-speaking real estate research.

Modularity clustering of economic development and ESG attributes in prefabricated building research

“…It might have excluded some of the latest studies published in other languages. As one of our research indicated that local language research might allow us to see other angles in housing price research (Li et al, Forthcoming 2022), similar research might be conducted to study prefabricated buildings. Detailed focus groups and surveys may be taken to see the professionals' perspectives on ESG and prefabricated buildings in the future.…”

Urban Housing Inequality and the Nature of Relationship Between Formal and Informal Settlements in Enugu Metropolis, Nigeria

“…However, the African situation differs from those of other regions like Asia and with a centrally planned economy. As such the situation differs from some other countries like China where administration appeared as a special factor that affected the housing price above the economic, social, and environmental factors despite the planned economic system and direct government housing interventions including government investment and macro-control in the country (Li & Li, 2022).…”

“…However, the African experience might not be similar to the situations in some other regions of developed and developing countries. For instance, N. Li and Li (2022) indicated that China in the Asia region has administration as a special factor affecting the housing situation above the other economic, social, and environmental factors.…”

“…Li and Li (2022) indicated that China in the Asia region has administration as a special factor affecting the housing situation above the other economic, social, and environmental factors. These were regardless of the centrally planned economic system and direct government housing interventions including government investment and macro-control in the country (N. Li & Li, 2022).…”

“…Given the foregoing, this study argues that to address the issue of housing inequality and to check the proliferation of informal settlements in cities, especially in the global South, there is a need for an adequate understanding of the nature of the relationship between informal settlements and formal neighborhoods. This aspect appears not to have been properly articulated in the body of literature (Fang et al, 2020; Li & Li, 2022; Nwachi et al, 2012).…”