Development of efficient mortgage landing in macroeconomic stability and economic equilibrium provision

Authors

DOI:

https://doi.org/10.5281/zenodo.7331916

Keywords:

market, mortgage loan, banking institution, long-term loan, interest, real estate, lenders, borrowers

Abstract

The paper reveals the essence of the modern mortgage lending market carried out by banking institutions in Ukraine. The peculiarities of the market functioning and the factors that restrain its development in modern conditions are considered. The definition of the concept of “mortgage” is theoretically substantiated, and the general financial and economic characteristics of mortgage lending in Ukraine are provided. The paper considers main indicators of banking activities in mortgage lending in Ukraine for 2018-2021. The article reveals the analysis of consumer lending dynamics and proves that mortgages has been playing a key role in banking activities due to providing a significant part of income, proper consideration of the benefits and risks of working in this direction, as well as increase the stability of banks. To manage credit risk, the National Bank of Ukraine (NBU) has introduced risk factors for unsecured consumer loans. New credit approval standards for financial institutions were studied and it was established that the repayment term is one of the factors affecting the number of mortgage loans. It has been proven that the mortgage lending volume is greatly influenced by exchange rates.

Analysis of the situation in the primary market reveal that certain relations regarding the provision and repayment of the mortgage are formed between the mortgage lender and the borrower. The secondary market functions to refinance mortgage lenders and to attract loans through issuing mortgage securities, selling mortgage assets to banks, secondary professional non-bank mortgage financial institutions or use these mortgage assets as collateral. Secondary mortgage institutions must ensure the activity of mortgage lenders on the primary mortgage market with risks diversification and carrying out measures to refinance mortgage lenders at the expense of funds from the placement of mortgage securities. The secondary mortgage market was created due to the banking system seeking to finance long-term mortgages at the expense of short-term bank liabilities. That is why the creation of the secondary mortgage market is one of the main priorities of the state policy in the national mortgage system development. The interest rate on mortgage loans is one of the important factors affecting loans. Therefore, this factor needs a more profound analyzing.

Downloads

Download data is not yet available.

References

. Avanesova, N.E. (2012). Bancassurance yak forma spivpratsi strakhovykh kompanii ta bankivskykh ustanov. Aktual'ni problemy upravlinnja ta finansovo-gospodars'koi' dijal'nosti pidpryjemstva. Harkiv: NTU "HPI". S. 3-9. Retrieved from: http://repository.kpi.kharkov.ua/handle/KhPI-Press/10396 [in Ukrainian].

. Herasymovych, A.M., Alekseienko, M.D., Parasii-Verhunenko, I.M. (2004). Analiz bankivskoi diialnosti: pidruchnyk. Kyi'v: KNEU [in Ukrainian].

. Bulatova, E.V. (2004). Razvitie mezhregionalnogo sotrudnichestva kak osnovy integracii. Problemy razvitiya vneshneekonomicheskih svyazej i privlechenie inostrannyh investicij: regionalnyj aspekt. Sbornik nauchnyh trudov. (s. 120-123). Doneck: DonNU [in Russian].

. Zharikova О., Cherkesenko K. (2021). Integration of Banks and insurance companies activities in Ukraine. Journal of Scientific Papers «Social Development and Security», 11(2), 42-57. https://doi.org/10.33445/sds.2021.11.2.5

. Zharikova О., Pashchenko, O., & Cherkesenko, K. (2021). Theoretical fundamentals of the integration process of banking institutions and insurance companies of Ukraine. Political Science and Security Studies Journal, 2(3), 39-46. https://doi.org/10.5281/zenodo.5544196

. Zharikova О., Cherkesenko K. (2021). Personnel management development issues in multinational corporations of the world economy. Economics and education international scientific journal, vol 6 number 3, P. 45-52.

. Zharikova, O.B., Cherkesenko, K.I. (2020). Bank assurance: new challenges and prospects for development in Ukraine. Scientific Journal “Bioeconomics and Agrarian Business”, Issue 4. №3. P. 76-87. Retrieved from: http://journals.nubip.edu.ua/index.php/Bioeconomy/ article/view/15815

. Zharikova O.B, Pashchenko O.V. (2021). Financial and economic activity of agribusiness under international standards. Scientific Bulletin of Kherson State University. Series “Economic Sciences”. №42. P.64-72. https://doi.org/10.32999/ksu2307-8030/2021-42-10.

. Zharikova O.B., Pashchenko O.V. (2018). Using capitalization method to assess monetary value of agricultural land under rental considerations and its component. Нarran Journal of Agricultural and Food Science. Harran University Faculty of Agriculture. P. 1213-1225. Retrieved from: https://dergipark.org.tr/tr/pub/harranziraat/issue/18453/194278

. Vasyltsiv, T. H., Voloshyn, V. I., Boikevych, O. R., Karkavchuk, V. V. (2012). Finansovo-ekonomichna bezpeka pidpryiemstv Ukrainy: stratehiia ta mekhanizmy zabezpechennia: monohrafiia. Lviv: Liha-Pres [in Ukrainian].

. Vasylchyshyn, O. B. (2017). Finansova bezpeka bankivskoi systemy Ukrainy: filosofski determinanty: monohrafiia. Ternopil: TNE [in Ukrainian]

. Vasiurenko, O.V., Volokhata, N.O. (2006). Ekonomichnyi analiz diialnosti komertsiinykh bankiv: navchalnyi posibnyk. Kyiv: Znannia [in Ukrainian].

. Volkova, V.V., Volkova, N.I. (2016). Bankostrakhuvannia yak suchasnyi metod minimizatsii kredytnoho ryzyku banku. Elektronnyi zhurnal «Finansy, oblik, banky», 1(21). Retrieved from: http://nbuv.gov.ua/UJRN/Fub_2016_1_7 [in Ukrainian].

. Yermoshenko, A. M. (2012). Mekhanizm intehratsii strakhovykh kompanii z bankamy u systemi vzaiemodii uchasnykiv finansovoho rynku. BIZNES INFORM, 6, 152-155 [in Ukrainian].

. Ohliad bankivskoho sektoru za liutyi 2021 r. Nacional'nyj bank Ukrai'ny. Retrieved from: https://bank.gov.ua/admin_uploads/article/Banking_Sector_Review_2021-02.pdf?v=4 [in Ukrainian].

. Ohliad bankivskoho sektoru za 2020 r. Nacional'nyj bank Ukrai'ny. Retrieved from: https://bank.gov.ua/admin_uploads/article/Banking_Sector_Review_2020-02.pdf?v=4 [in Ukrainian].

. Nehoda, Y., Zharikova О., & Grebenyuk, T. (2022). Mortgage lending market: problems and development prospects. Political Science and Security Studies Journal, 3(2), 26-37. https://doi.org/10.5281/zenodo.7230142

. Official site of the National Bank of Ukraine. Retrieved from: https://bank.gov.ua

. Official website of the Association of Ukrainian Banks. Retrieved from: https://aub.org.ua

. Pashchenko O.V., Zharikova O.B. Differentiation of household incomes under current conditions of economic development. Scientific Journal “Bioeconomics and Agrarian Business”. Issue № 6. 2021. P. 45-55. http://journals.nubip.edu.ua/index.php/Bioeconomy/article/view/15420.

. Pashchenko O.V., Zharikova O.B. (2018). Increasing the competitiveness of Ukrainian dairy products in line with European standards. International Journal of Scientific and Technological. Vol 4. No 10. 435-441. Retrieved from: www.iiste.org.

Downloads


Abstract views: 77
Downloads: 57

Published

2022-03-31

How to Cite

Zharikova О., Pashchenko, O. ., & Grebeniuk, T. (2022). Development of efficient mortgage landing in macroeconomic stability and economic equilibrium provision. Political Science and Security Studies Journal, 3(1), 44-57. https://doi.org/10.5281/zenodo.7331916

Issue

Section

Articles