Research On Delinquency Risk Of Residential Mortgage Loans For XX Bank

Since the housing reform of the distribution system in1998, thereal-estate market has developed rapidly. The residential mortgage markethas become a financial engine for the real-estate market and the economicgrowth in China. With the rapid increase of residential mortgages in China,we also witnessed a high growth in the termination risks. Non-performingloans ratio in China is obviously higher than the developed countries orregions such as the United States or Hong Kong, and it will still go on.Though there are more and more concerning about the default risk in bothfinancial industry and academic field, there are still little studies indelinquency risk of residential mortgage loans. On the basis of thebackground mentioned above，this paper focuses on the analysis of the majordeterminants of delinquency risk of residential mortgages for XX BankChengdu Branch, and provides theory support for the bank to control thedelinquency risk of residential mortgages management.As residential mortgage loans by commercial banks increased rapidly，the delinquency risk has become one of the important credit risks whichcommercial banks often encountered in the management of residentialmortgage loans．This paper briefly outlined the theories from domestic andoverseas research on delinquency risk of residential mortgage loans, andanalyzed the delinquency risk for XX Bank Chengdu Branch. Based on thebackground of strategic restructuring of XX Bank Chengdu Branch and thetheory of credit risk in financial study, we explored the importance andurgency of policy formulation in residential mortgage loans during the newdeveloping period of XX Bank Chengdu Branch. At last, we offered thesuggestions about strengthening the early warning management ofdelinquency risk． The executive summary part of the paper describes the background ofthe subject selection, the significance and methodology of the research.Chapter Two briefly describes the development and the theory of delinquencyrisk management. Chapter Three introduces the development and the currentsituation of residential mortgage loans operation of XX Bank Chengdu Branch.Chapter Four reveals the delinquency risk factors in residential mortgageloan business in XX Bank Chengdu Branch. The final chapter of the paperis conclusion statement.