China's Commercial Banks To Real Estate Financial Risk And Its Prevention

In recent years, with the furtherance of reform in the housing system, the rapid growth of national economy and speeding-up of the urbanization procedure, real estate Industry has become the pillar Industry in china's economy. It's expected that with the support of nation's macro-policies the real estate Industry will be flourishing and become the mainstay in the national economy in future years. At the same time, loan provided by commercial banks has for all the time been a significant source of money supply to the real estate sector. The co-existing relationship determines that development of real estate Industry is bound to be accompanied by the expanding of real estate financing.However, real estate Industry is of high risks and intensive money. In our country, under the condition of limited channel to raise money, the capital needed in real estate investment mostly depended on the loans of commercial banks. But the development of real estate loan guarantee, insurance, the secondary market leave much to be desired, the commercial banks are lack of the disperse and shift mechanism of risks. Therefore, the risks of real estate are focused on commercial banks. While the real estate financing is fast developing, the commercial banks have already gathered a large number of market risk and credit risk. It's of emergency to take effective actions to ward off the risks of real estate financing and to promote the healthy development of real estate financing.In this paper, author starts with the relationship between the risks of real estate financing and the whole risks of the commercial banks. This paper synthetically adopts the theories in economics and finances, integrating the complicated methods of theoretic and empirical analysis, quantitative and qualitative analysis, systematical and comparative analysis, by focusing on the causes, characteristics and forms of the risks of real estate financing of commercial banks in our country. Through the study of guarding against the market risk and credit risk of real estate financing in typical countries, combine the actual facts of our country, the author put forward some...