Abstract: Homestead utilization has become a social hot spot and consensus in urban villages. In this study, three pilot villages of homestead reform in X district of Guangzhou were selected, and the causes of inefficient use of homestead were discussed with the methodas of geospatial analysis and field investigation. The results showed that: (1) The low efficient homestead area accounted for about 12%, mainly because the application for rebuild did not meet the requirements. About 20% of the villagers have more than one homestead, mainly because of inheritance or private purchasing. (2) The main problem of homestead management in X District in the early stage was that homestead management lagged behind social development, and the intensity of homestead management policy in the later stage was under high pressure on social demand. (3) Most villagers thought that it was not necessary to allocate homestead to new members of the village and that it was more reasonable to refine the qualification right and the allotted area to individuals. Villagers in economically developed areas were more likely to accept the paid use mechanism of excessive homesteads, while villagers in economically backward areas were more willing to freely trade the houses on their homestead. Most villagers were not willing to quit the idle house sites. Some villagers, who had house sites but had no money to build houses, were willing to displace. To improve the utilization efficiency of urban village homestead, it is necessary to strengthen the relationship between people and land, supply and demand of homestead at the micro-level, and to explore the construction of social and economic, natural and cultural environment around the sustainable development of urban village at the macro-level.