Legal Construction Of Reverse Mortgages

As China’s elderly population is growing, China has entered the aging society, the traditional social pension and family pension model has been unable to meet the needs of pension, endowment pressure doubled. In earlier times, our country tried to ease the Housing Endowment for the social pension pressure, but with little success. Housing Endowment system is the exchange value of the house is converted into economic benefits. The more mature a model is "mortgage", also known as "reverse mortgage",refers to the elderly housing its own property as collateral, consumer borrowing from banks or other financial institutions, in order to get some financial security, at the same time, elderly could preserving housing tenure until they die. Then banks or other financial get the house’s ownership. It originated in Europe, matured in the United States. Housing Endowment system can help ease the contradiction between the social security system’s imperfections and aging excessive, improve the living standards of the elderly, mitigate pension pressure of children, activate the secondary real estate market, rational allocation of resources, it has important practical significance.This paper is divided into five parts.The first part describes the topic, background and significance of this paper, Research status at home and abroad,the main contents of the study, research methods and writing ideas.The second part demonstrates the necessity and feasibility of Housing Endowment system implementing in China.China’s aging population which is serious, the social security system is not perfect,the traditional model of family pension has been impacted, these means carrying out Housing Endowment system was practical urgency; In addition, the feasibility of: China’s housing reform provides support for institutional and legal, Idle capitalized financial institutions provide a favorable external environment, the booming real estate market offers two basic conditions of the market.The third section describes our pension system to house the former practices, including Nanjing Mode, Shanghai Mode, Beijing Mode, Hangzhou Mode and CITIC Bank Mode. Learn and analyzes the problem of the Housing Endowment building. Such as the traditional concept of obstacles, 70 years of residential construction land deadlines problems resulting, incomplete property room and Rural Residential Land restrictions, longevity risk, price fluctuations and other risks and moral hazard during the operation.The fourth part analizes the Housing Endowment of the United States, Britain, Singapore, France, Russia and Canada, find the valuable experience for China’s national conditions, summarized from the system design and the role of government: In the system, the body is set to be in line with China’s national conditions, set the power requirements with Without Recourse Safeguards, payment should be diversified, Government which should play the role like publicity and guidance, risk sharing, legal regulation, preferential policies and so on.Part V summarizes these valuable experience abroad, In view of the existing problems, reflections proposed. First, clear the operation after 70 years of ownership period. Second, make improvements to the Incomplete property room mentioned in the article, allowing them to participate in the Housing pension system. Third, we must properly open the Rural Residential Land market. Fourth, we should clear participators, government should play the important role, establish the model of ”Government guidance, banks and insurance companies jointly”.