Dual-City Mirroring and Market Differentiation: Research on Price Correlations and Optimization Paths in Shanghai and Hong Kong Real Estate Markets

Existing studies have revealed the impact of policies, interest rates and other factors on the real estate market but focus on single-factor and single-region analyses, and there is a gap in the study of cross-regional multifactor influence weights. In this study, the real estate market and housing prices in Hong Kong and Shanghai are used as the research objects, and a multiregional and multifactor correlation and difference comparison study is carried out, with the goal of revealing the correlation and differentiation mechanism of housing prices in Shanghai and Hong Kong. The results of this study reveal that housing prices are correlated in terms of seven dimensions, namely, supply, demand, and monetary policy, whereas differences exist in terms of policy instruments, population structure, land system and other factors. After validating each factor through a dual-track framework of correlation and differentiation, factor analysis and structural equation modeling were employed to further determine the weighting of different factors across the two regions. Based on this, a housing price fluctuation early warning mechanism was established to provide references and recommendations for policy implementation, risk mitigation, and real estate regulation stabilization in megacity clusters.(Li et al., 2012)