The Risk And Control Research About The Real Estate Credit Of The Agricultural Bank Of China Changsha Branch

The development of the real estate industry is connected with the national economy and the people's livelihood. Chinese economy has been growing well and rapidly, which stimulates the development of the urbanization and the house commercialization as well as the real estate industry and credit. And it has exerted important influence on adjusting economy structure and speeding up the economy development. Moreover, the real estate industry is a typical fund-focused industry that needs a lot of capital support. Now the real estate financing channel in our country is narrow. These years, to the developers and buyers, the main financing way is banking loan in spite of some overseas investing trust fund and real estate agencies marketed at home and abroad. Commercial banks directly or indirectly endure all marketing risks and credit risks formed in the course of the development of the real estate industry through land reserving loan, real estate developing loan, floating capital loan of construction industry and housing consumption loan .The Agricultural Bank of China Changsha Branch is a second grade branch under the vertical management of the H.O. with 15 sub-branches in Changsha zone. In the past, the development of the real estate credit business is not very good in Changsha Branch. The bad loan rate of real estate corporation and individual housing is far exceeding the warning level. The bad loan rate can not be brought down. The potential risks are constantly uncovered. The author studies the real estate loan practice of the Agricultural Bank of China Changsha Branch. He analyzes impersonally the present development of the real estate industry and finance in Changsha City on the background of real estate status quo in Changsha Ctiy. The author analyses the real estate loan structures and risks management status in Agricultural Bank of China Changsha Branch. He prompts the present and future risks in three sides such as macroscopical policy, enterprises management and banking loan. Moreover, he analyses the reasons why risks are formed in all the steps in the loan management. The article puts forward twelve measures and suggestions in areas of system building, operation risks control and environmental construction.The proposal of the risk and control has the pertinency, catholicity and forward looking. According to the characteristics of the real estate loan in Changsha Branch, the author concretely analyzes the intrinsic factor and extrinsic factor of the risks in the area of landing developing, building projects and selling house in Changsha Branch. He presents all kinds of risks in the aspect of the commercial bank. As we know, USA is not only the leading country in real estate finance, but also the founder of many real estate finance products. For the risks in the real estate loan in Changsha Branch, the author puts forward new concepts like fractionizing markets, specialization work, dynamic supervision and fine management. He gives a deep study in three areas such as setting up marketing management system, controlling operation risks and building up external environment via referring to advanced experiences in loan analysis, risks evaluation and housing loans securitization from USA.