Study On The Legal Problem Of Real Estate Mortgage Securitization In China

Real Estate Mortgage Securities (short in REMS) is the first and chief form of major securities. REMS is a margin process that someone publish the stock certificate to acquire the fluxing founds relying on the real estate asset that owns foresee future income, when the future income becomes nonce, it can be used to pay for the capital and interest to the security holders , the Securities that are primarily served by the cashflows of a discrete pool of receivables or other financial real estate assets ,either fixed or revolving. REMS is including Mortgage-backed Securities MBS, Asset-backed securities ABS and Pay-through securities.The author draw a conclusion that the operation procedure of REMS is the legal relations, it's basic legal relation is Debt Assignment, it's foundation legal relation is real estate guaranty and security relation is pure legal relation.After analyzing the main legal problems and the way to solve it in the process of REMS .we should pay more attention on the four important legal problems about the securities legal and publishing, underlying real estate, debt assignment, the operation of SPV and the bankruptcy-remote ,the author brings up the suggestion to perfecting legality to precede REMS in our country. We must draft the laws and regulations of REMS suitable for Chinese realities, to protect the benefit of all the investors and promote the economic growth.