Abstract: In order to provide evidence for the applicability of the capitalization about the public goods theory in China ,using the housing market data from 1998 to 2012 in 31 provinces, ,this paper analyzes the impact of the supply of public services on housing values with hedonic model, from the perspective of optimizing the structure of public goods supply. Empirical studies have shown that education, health, social security make the negative effect on the supply of housing value under control other variables conditions.This is inconsistent with the traditional theory of public goods capitalization.Finally, it suggested that the optimize structure of pulic goods should be paid more attention than the scale of importance of public goods supply, so as to gain the housing preservation and apprection.