It seems that China has a strong power to support housing prices, which has become an important theoretical basis for developers and other vested interests to push up housing prices. However, judging from the actual consumption demand supported by purchasing power and the current commercial housing structure, the housing market in China is actually oversupply. When the house is residential demand or consumer demand, it is the residents' actual consumption capacity that determines the house price, which is usually expressed by the ratio of house price to household disposable income. According to China's reality, it is given by international experts. Reasonable housing prices. " The ratio of house price to income is 3 ~ 6 times, that is, a family can buy a house with 3 ~ 6 years' income. Statistics show that the ratio of house price to income in 2004 and 2005 was 6.52 times and 9.83 times respectively. In 2006, it soared to 15.76 times, and in 2007 it soared to more than 20 times. Measured by the internationally accepted "house price-income ratio". China's housing prices have far exceeded the actual purchasing power of the people. When housing is an investment demand. The power that determines the house price is the rent, which is usually expressed by the rental-to-sale ratio internationally. The so-called rent-to-sale ratio refers to the ratio of monthly rent per square meter of usable area to house price per square meter of construction area.