Research On Mortgage Appraisal Of Real Estate

The development of the real estate market makes real estate mortgage become one of the guarantee types with higher safety parameter, because of its maintaining, durable, profitable and untransferable features. Real estate mortgage plays an important role in the financing methods of individuals and enterprises. Real estate mortgage appraisal affects the successful implementation of property mortgage loan, which not only concerns the capital utilization, risk management and the capital gains of commercial banks, but also concerns the mortgage lenders’legal rights. Therefore, the government enacted a series of laws and regulations such as Real Estate Appraisal Standard, Law of the People’s Republic of China on Urban Real Estate Administration, Guaranty Law of the People’s Republic of China, Guidelines for Risk Management Real Estate Loans of Commercial Banks, Real Estate Mortgage valuation guidance, etc. which is very important to standardize the real estate valuation market.However, our study on real estate mortgage appraisal starts a little late, and many theories on this field are not complete yet. The laws and regulations haven’t provided agreed and convinced explanation. So there are still a lot of questions in real estate mortgage appraisal work. For example, there are no consensuses on relative conceptions such as exact definition of mortgage valuation, appraisal date and assumption conditions. As a result, the research on real estate mortgage appraisal and finding reasons help a lot in regulating real estate mortgage market, promoting real estate mortgage loans and protecting legal rights of both sides of real estate mortgage theoretically and practically.The composition of this thesis is as follows:first of all, defining conceptions which have no consensuses such as mortgage value confirmation of mortgage’s date of value and hypothesis conditions.Then we’ll discuss the questions in practice as the general operational thoughts, for example, how to understand the validity of valuation objects before appraisal, data collection and analysis during appraisal, and appraisers’expertise and work ethic, then the appraisal report’s writing and use after appraisal.Finally, analyzing these questions according to the related cases and talking about some personal opinions.The first part includes some basic contents such as underground, current research, research framework and research methods.The second part is to study conceptions, mainly analyze mortgage value’s implication, features of real estate mortgage appraisal, appraisal date and so on, and afterwards define them.The third part is to discuss current situation and problems. On the basis of studying related regulations and overall condition of our country’s real estate mortgage appraisal, we’ll analyze exist problems in this field, for example, appraisers’expertise is not enough, they don’t deeply understand the appraisal objects, and some of them participate illicit competition, catering to client’s willing to raise collateral value, and some criminals seek illegal profits by making fake reports through illicit channels and so on.The fourth part is to analyze problems raised in the third part, then to determine the cause.In the fifth part, we’ll give some feasible measures from several perspectives such as appraiser’s access permission mechanism, successive education and mortgage appraisal law system building and so on.The innovation point of this article is to give a specific definition of mortgage value according to the context. Besides, after analyzing basic assumption and practical problems, we provide some modified suggestions. In light of poor practical operational experience of my own, some measures may not be suitable enough to completely promote the mortgage appraisal work smoothly.