The Impact of Property Tax on House Prices--Theoretical analysis based on the supply and demand model and the four-quadrant rule

Abstract

This paper analyzes the impact of the real estate tax on house prices from theoretical models such as the long- and short-term supply and demand models and the four-quadrant analysis model, followed by a real estate tax country analysis. It is found that for most small and medium-sized cities, a real estate tax that imposes a tax on both the transfer and retention segments will lead to a significant decline in house prices in the medium to long term, but overall, house prices will still fluctuate up and down from the original trend. For cities with high house prices and large house price increases, a tax on only the transfer link will only drive The conclusion has some predictive value for the effect produced by the pilot real estate tax reform work, and at the same time, it has some guiding significance for the proposal of real estate tax reform in the paper.