Since November 2007,the trade volume of commercial housing has witnessed a drop across China.With the downturn of real estate,there have been numerous reports that housing prices are headed down.Headlines in newspapers have read“House Prices Falling Faster in Shenzhen”or“Are Housing Prices in Guangzhou Reaching the Inflection Point?”It is even reported that a guest on CCTV’s Half-Hour Economy de- clared a 20 percent drop in housing prices in Guangzhou. Since November 2007, the trade volume of commercial housing has witnessed a drop across China. With the downturn of real estate, there have been numerous reports that housing prices are headed down. Headlines in newspapers have read “House Prices Falling Faster in Shenzhen ”or “ Are Housing Prices in Guangzhou Reaching the Inflection Point? ”It is even reported that a guest on CCTV’s Half-Hour Economy de- clared a 20 percent drop in housing prices in Guangzhou.