Reverse Mortgage: A Research On A New Mode Of Providing For The Aged

Because of the development of economy, the quick improvement of medical treatment, the national policy of planned parenthood and the decendment of birthrate&death rate, our country has been a aging society since the end of last centry. In the background of aging society, the olders' life confront problems: the traditional way that children should support their parents and grandparents is weak; "empty nest" families are more and more; aging coming before rich restrict economy, meanwhile,the olders number is increasing quickly; the level of life is improving, people take more care about the quality of life. The form of planned economy made a quickly increasing financial deficit on providing for the aged, thus, it's a heavy load on providing for the aged in our country. Therefore, reverse mortgage may be a available way to solve this problem.Through the analysis of literatures, collecting relative information and referential experience of foreign and our country's reaearch, the author consider that in the condition of analyzing current mode of providing for the aged,more and more population becoming aged and the insanity of social secuity, reverse mortgage is essential; housing innovation, more people possessing their own house and the funtion of house being expanded, reverse mortgage is feasible in our country. The author chose Lvshun Dalian for experimental unit, according to relative data and 350 old people's questionnaires, the author deems that the houses which most people use up half life's amassment can be use for both living and providing for their aged time's fee.With the develpoment of subjective and objective conditions, reverse mortgage will be more and more popular. According to the lessons learnt from the foreign country, the author conceives institutions for reverse mortgage and design a flow of reverse mortgage. Reverse mortgage also has many risks and holdback. Eg., housing risk, defrayment risk, risk of housing changing into cash, alteration risk of interest rate and price, national policy risk and reverse choice risk. Moreover, because old people is lack of legal consciousness, their knottiness on housing is rifeness and in the course of reverse mortgage they are less of legal information. Our traditional culture makes part of old people can't accept reverse mortgage.But with the housing market's maturation and relative policy carrying into execution, reverse mortgage will be a new financial investment product.