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反向房屋抵押貸款商品結構分析
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Rental Rate
Rental
Income
Remaining
Value
Insurance
Expenses
Profits
Cost of
Insurance
Mortality
L-C
(1.4 times)
217,707
241,858
100,761
105,427
80,042
Lee-Carter
252,204
203,591
120,765
129,915 120,765
L-C
(0.8 times)
275,665
180,049
135,722
148,204 153,930
Note: L-C (k times) means that the fitted mortality rate is multiplied by k.
4. Research Limitations
This study suffers from several limitations. First of all, the Geometric Brownian motion
fails to capture the well-documented phenomenon of volatility clustering in housing prices.
Secondly, the assumption of constant interest rate does not consider the effect of interest rate
term structure. Third, factors other than mortality rate may cause loans to become due and
payable. All of these issues could be considered in future studies.
5. Contribution
To achieve profits and effectively manage risks, it is important that financial institutions
understand the structures of their products. This study provides a specific process by which
lenders can specifically assess profit and recognize potential risks. Furthermore, the
proposed approach enables borrowers entering into reverse mortgages to realize the detailed
conversion values of their properties.