Explore The Feasibility And Modalities Of The China Real Estate Securities

In recent years, the rapid development of the real estate industry has contributed to the urban construction and the improvement of the standard of living. At the same time, with the sustained and rapid development of economy in China, the capital support is needed for the real estate industry, especially after China become a member of WTO. However, the healthy development of China' s real estate was obstructed by the limitation of traditional financing ways. So the real estate securitization becomes a newfeasible solution to this problem. The real estate securitization is application of securitization in the real estate. It is a financial exchange procedure which transform low fluidness investment in real estate to securities asset in capital market. It has many characteristics, such as fluidness innovation, credit innovation and risk diversion innovation, which not exist in traditional financing fashion.In this paper, the primary conception and the development of ABS overseas are introduced. Then the attention to the operating models, operating procedures and legislation environment is focused. Finally, the practical condition for application of real estate securitization in China is analyzed and relevant countermeasures are put forward.