The Research Of The Legal System Of The Reverse Mortgage

Reverse mortgage is a loan system that considers those who have their own houses as loan targets, under the circumstances that making their property as collateral. The mortgagees don’t have to pay for the loan during the period of residence until they die elderly, sell or permanently move out the house, by then they should have paid off the loan principal, interest of the loan and all kinds of the cost with the sale of housing funds. The system can effectively reduce the pressure of social insurance, pension problems, promoting consumption, stimulating the development of market economy, accelerating the healthy development of the real estate market and also can facilitate diversification development of the financial institutions business. In terms of the successful implementation in America and Australia for many years, this system takes the legitimate rights and interests of the elderly as its purpose, involved by the government, to provide a variety of ways to meet different needs of the elderly and formulate corresponding legal norms to protect the smooth implementation of the system.With the acceleration of aging process, the traditional social pension and family pension cannot meet the needs of the elderly, it is crucial to find a new financial product to enrich their lives. With the rising of housing private rate in our country, the positive financial idea becomes more and more popular; moreover, enough money from the financial institutions also lays a good foundation for the implementation of the reverse mortgage system in our country.Although it has been being practiced for more than 10 years in our country, the system did not go smoothly:there have been some pilot projects, but all of them proved to be failures because of the obstacles. In that case, the research of legal problems of the housing reverse mortgage helps to clarify the difficulties and obstacles it faces through the law level. On the basis of the comparative research of the housing reverse mortgage system in America and Australia, combining with the practical situation in China, this dissertation attempts to solve the problems related to the housing reverse mortgage on law level, put forward some recommendation in the running to facilitate the development of the system in our country.