The real estate market has always been of interest to a person, regardless of whether he wanted to earn on him or, on the contrary, to acquire something. Today, many banks offer a new investment tool – these are mortgage securities. Unfortunately, few have heard about such a service.
Mortgage securities were produced at the beginning of the last century. Moreover, they were highly popular because they brought stable income, bonds could be sold at any time. Economists are sure that these factors are of interest in modern man. Immediately we note that mortgage securities acquire not only Russians, but also foreign citizens.
The advantage of mortgage securities is that they have providing a real real estate object, and it will always be in price. The dynamics of real estate prices will become a guarantor of the payback of such bonds.
The modern mortgage certificate of participation is a personalized securities, which indicates the share in the right of common ownership of the mortgage coating. Any owner of the document can not only perform operations with documents, but also demand from the issuer compliance with the rules of operational management of the object properly. Today, trading in securities of this kind is carried out by most banks issuing mortgage loans and independent mortgage agents. All documents are executed and used just like any other securities. All of them are listed and can be bought or sold by investors. In addition, interest is paid at least once a year on mortgage securities.
Experts say that investors are attracted not by the profitability of such papers, but their liquidity and reliability. Insurance companies, share investment funds, pension funds and other organizations acquire mortgage securities with great interest. The thing is that such organizations have “long” money from which you can get a good income, retaining the entire amount.
Nevertheless, the market for mortgage securities in Russia is only beginning to develop. During the year, the bank concludes less than ten transactions to sell such documents. Experts argue that the prosperity of the system restrains one serious circumstance – the lack of a necessary regulatory framework. The Federal Law “On Securities” is not backed up by by -laws regulating the release and sale of mortgage securities.
In our country, the market for mortgage securities is directly related to the development of the mortgage market itself. This area will develop, therefore, the documents will soon be more popular.