The US Subprime Mortgage Crisis And China's Mortgage Risk Countermeasure

Subprime loan crisis emerged in America in 2007 at last evolved into a global financial crisis.The apparent causes of American sub-loan crisis is that mortgage rates continued to rise, and real estate prices continued to fall;However,credit crisis, lack of supervision and consumer culture are more intrinsic reasons.Since the housing system reform in China,the real estate market developed rapidly during last decade.Meanwhile,the scale of real estate credit is also expanding rapidly.The personal housing mortgage loans go up in an straight line since 1998.However,there are similar incentives for sub-loan crisis in China's real estate market: the high price; the central bank continued to add interest; false loans and so on.Mortgage risk is the gradual accumulation and release, usually 3 - 8 years or so, and now is near the exposure period of risk.At the time of the United States credit crisis triggering the global financial crisis,we should draw a lesson and think of the risk of Chinese real estate credit,especially the risk of personal housing mortgage loans.This thesis explored the potential risk of China's personal real estate loans through the analysis of the causes of Subprime loan crisis in America.It also presented how to resolve or prevent loan risks in China based on the study of credit risk and interest rate risk.Learn from Subprime loan crisis in America and study on solution and prevention of personal housing mortgage loans risk have important theoretical and practical significance of promoting China's real estate credit business and the entire national economy.Under the guidance of the instructor, and through my own independent thinking, in this paper, I fully utilize the most updated and original data (since the subprime mortgage crisis) of China's commercial interest rate on individual House Mortgage, and organize, analyze, summarize and digest the data I accumulate. On this base, I actively learn from the experienced study of developed countries and relevant theory and methods inner our own country, absorb general model of interest, and study on prevention and management of interest rate risk and credit risk in our country's personal housing mortgage loans process.