Research On The Risk Control Of REITs Financing In The Entrepreneurial Long-rent Apartment

Under the background of the country’s gradual promotion of the “rental and purchase” policy,the policies for improving the housing leasing market have been continuously introduced,and the housing leasing market has ushered in an unprecedented period of opportunity.Under this trend,the long-rent apartment market,as an important part of the housing leasing industry,will also present a collective blowout situation.However,in the process of development and growth,there are problems of high financing costs and difficult financing.The financing methods of real estate trust investment funds(hereinafter referred to as REITs)have given these entrepreneurial long-rental apartment companies new financing channels,which have also promoted the stable development of the financial market.This paper uses a combination of theory and case research methods.After reading a large number of relevant domestic and foreign literatures,it has a systematic understanding of the theoretical basis of corporate finance,REITs financing methods and financing risks.For real estate finance,REITs are a new benchmark for their development and an important means to promote the development of the secondary market for real estate finance.In fact,REITs created a new channel that drains market capital to the real estate industry,enriching the financing channels of the real estate industry.Therefore,the emergence of REITs can improve the real estate financial structure and promote the maturity of real estate finance.However,enterprises have a series of risks in the process of financing through REITs,including policy and legal risks,liquidity risks,credit rating risks,interest rate risks,business risks,cash flow risks,fund conflation and misappropriation risks,and human resources risks.Reduce financing risk by developing comprehensive risk control measures.As a typical example of long-term rental apartments,Xinfang Apartment has issued the first apartment-type REITs in China,enabling the REITs financing model to be applied to various long-term apartment companies.This paper takes the REITs case of Xinpai Apartment as the research object,systematically analyzes the financing operation mode of REITs and analyzes the financing risks from internal and external risks,and then uses a certain method to comprehensively evaluate the financing risks.The cause analysis and risk prevention measures are provided.At the same time,it provides a theoretical basis for the improvement of REITs financing laws andregulatory measures in China,which helps to promote the improvement of China’s real estate financial structure.