Abstract: This paper is engaged on theoretic study and empirical analysis of the function of rental real estate market to real estate tenure choice mechanics by the international comparison of rental housing market in main developed countries and co-integration test of the house price index and residential rental index in US and Germany. It’s disclosed that in the countries with mature rental housing market, there are housing tenure choice mechanics which forces the house prices keep away from more fluctuation under the restriction of rental. In China, the rental housing market is hardly mature. That’s one of the main reasons of lack of the mechanics for housing market to adjust its movement itself in China. Chinese government ought to improve its administration by focusing on that.