Abstract. How to evaluate the follow-up effect of the high-speed development of the Chinese real estate is a topic that has drawn the attention of people with lofty ideas in China or even throughout the world. This essay, taking the method of statistic analysis and synthetically study, put forward a proposition about the negative effect of the Chinese real estate and hold the view that China's real estate development implies a number of negative effects. These are mainly reflect in that the proportion of the real estate investment is too heavy which in turn takes investment away from other industries, the gap between the house price and the citizen's purchase ability is becoming wider and wider which increases the difficulty of the public housing consumption and the real estate foam has showed its appearance in some cities which buries deep risk to the national economic development. In addition, the local government’s over-reliance on taxes of transfer of land and real estate and weak implementation to the central macro-control policies, If this trend continues, it will inevitably lead to that the central government's order is not strictly enforced and the situation is difficult to control.So, it concludes that there's tremendous potential crisis in the Chinese real estate which needs us to treat it with high vigilance and to regulate and control it in a proper way.