Factors such as workforce wage, construction materials price, and financial credits and so on influence the supply of residential units in the housing market. Unique characteristics of housing such as durability, heterogeneity and immovability are effective on supply. Besides, housing has capital quality as well as the consumption quality. In this study it was tried to insert investment like other production factors in the production function. Also, this function has been estimated for different regions of Isfahan province in order to consider unique characteristics of housing. The results obtained from estimation of supply function in different regions in the province revealed that housing supply in these regions is mostly influenced by land supply and supply has a low elasticity in comparison with wage, credits and housing price.
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