Thoughts On Perfecting Our Mortgage Insurance

At present, real estate has grown into the pillar industry of China. With the financial tsunami initiated by U.S.A. subprime crisis expanding and the European sovereign debt crisis fermenting, the harm from bubbles of real estate market gradually appears and its destructive effect to economy magnifies. At current situations, it shows urgent to accelerate the stable and sustainable development of real estate market and economy and prevent from and minimize the adverse effect of real estate market fluctuations to our economy. Housing mortgage loan can promotes the development of real estate market, and accordingly, housing mortgage loan insurance can protect housing mortgage loan.Following the individual housing mortgage loan appeared in1992, housing mortgage loan insurance appeared. Real estate developers, buyers and banks, the three parties of real estate market, all obtained benefits from housing mortgage loan insurance. Though housing mortgage loan advanced real estate market, it also hinders the future development of real estate market for its improper insurance period, premium structure, high cost, limited insurance range, insufficient coverage and monopoly operation as the short-term history and imperfect system of our housing mortgage loan. The thesis starts from the meanings of mortgage loan, summarizes the development history of our housing loan insurance, analyzes the necessity of improving our housing loan insurance system and explores the way of improving our housing loan insurances by learning from experiences and lessons of housing loan insurances in Europe and U.S.A., establishing national policy-type housing mortgage guarantee system and improving commercial housing security guarantee system, so as to solve problems and accelerate the sustainable and healthy development of our real estate market.The major significance of the thesis is that though housing loan insurance appeared in the1990s, it sill is a new thing in China and its structure and system are not perfect and have many problems. The problems are often covered up in economic boom, but the financial tsunami initiated by U.S.A subprime crisis keeps warning the importance of healthy development of our real estate market. At present, the research of improving housing loan insurances mainly focus on the improvement of commercial insurances but not on reconstruction of national policy-typed guarantee entities. The thesis starts from the reconstruction of national policy-type housing guarantee entities and improvement of commercial housing loan insurances to offer constructive ideas and suggestions to housing mortgage loan insurances so as to accelerate the healthy and sustainable development of our real estate market and gradually meet the housing demand of low-and middle-income families.