Statement of the Main Challenges of the Real Estate Market in China

As a component of market economy, real estate is running and developing in the environment of politics, society, finance and internation. The most important influencing factors of the present Chinese real estate industry are national policy, population, urbanization level and the income of the residents. The most direct factor which influence the real estate market transaction is the change of Chinese population structure since family planning. This paper elaborates mainly through the search for an aging population present situation and challenge of the urbanization process to the real estate market. It is concluded that less than 30years, the effective implement of Chinese “family planning” is completed an average of 80 years of aging process in the developed countries, the urbanization process will also continue to push forward in the future. However, because of the influence of demographic dividend to weaken, the speed will be slowed. Finally five suggestions were given from five aspects on the elderly physiological psychological characteristics, design, production, structure and sales of real estate, based on the new demographic factors challenge of the current Chinese regional real estate.