Based on the provincial panel data from 2003 to 2014, using the dynamic spatial autoregressive model, this paper explores the mechanism of influence of land finance and financial development on total factor productivity from the perspectives of financial efficiency and financial scale. The results show that the modest increase in land supply is beneficial to enhance the total factor productivity in each region, but the land finance model is not sustainable. The high degree of land financial dependence in the western region significantly inhibits the increase of total factor productivity. The increase in financial efficiency is conducive to improving the total factor productivity, and the west regions have the highest degree of impact, followed by east and central areas. But the increase in financial scale has reduced the total factor productivity, and the west regions have the highest degree of impact, followed by the central and eastern areas. The subprime mortgage crisis exacerbate the dependence of regional land finance, financial scale and government finance on land transfer, which is not conducive to technological progress.