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Проблема Трансплантации Ипотечных Институтов В Переходных Экономиках: Роль Стройсберкасс
[The Problem of Transplantation of Housing Finance Institutions in Transition Economies: the Role of Contractual Savings for Housing]

Author

Listed:
  • Polterovich, Victor
  • Starkov, Oleg

Abstract

Transplantation of institutions is an important part of reforms in many developing and transition economies. However, principles and methods of transplantation are not developed and therefore many transplantation attempts failed. This is a case for numerous projects of accelerated building the most advanced market institutions of mortgage markets in almost all «catching-up» countries; these projects bring to dysfunctions, i.e. to formation of disable institutions slowing emergence of modern hypothecs. In order to build effective mortgage markets in Russia we propose a strategy of interim institutions that includes selection of effective transplants, their adjustment to the recipient’s environment and control of subsequent transformations of the transplanted institutions (Polterovich, 2001). To elaborate an effective strategy we study the history and the evolution of housing finance institutions in developed countries, compare different strategies of transplantation in transition economies and suggest a model to compare under Russian conditions two most promising candidates for transplantation: bank mortgage financing and Bausparkassen. It is shown that in contemporary Russia at the emergence stage of mortgage market the adjusted institution of Bausparkassen is more preferable to the majority of population, provides the maximal effectiveness of state subsidies and facilitates emergence of more advanced housing finance institutions. However, the role of Bausparkassen has to be diminished at a point where credit markets turn out to be developed enough. This process may be accelerated by gradual decrease of the Bauspar premiums on savings and switching of policy on subsidizing banking down payment. We suppose that our approach to the elaboration of interim institutions strategy may be applicable to transplantation problems concerning other institutional reforms in transition economies.

Suggested Citation

  • Polterovich, Victor & Starkov, Oleg, 2006. "Проблема Трансплантации Ипотечных Институтов В Переходных Экономиках: Роль Стройсберкасс [The Problem of Transplantation of Housing Finance Institutions in Transition Economies: the Role of Contrac," MPRA Paper 21996, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:21996
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    References listed on IDEAS

    as
    1. Chiquier, Loic & Hassler, Olivier & Lea, Michael, 2004. "Mortgage securities in emerging markets," Policy Research Working Paper Series 3370, The World Bank.
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    4. Vittas, Dimitri, 1995. "Thrift deposit institutions in Europe and the United States," Policy Research Working Paper Series 1540, The World Bank.
    5. Edwin Deutsch & Horst Tomann, 1995. "Home Ownership Finance in Austria and Germany," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 23(4), pages 441-474, December.
    6. Marcus Cieleback, 2002. "Screening and Signalling in a Contractual Savings for Housing System: The German Bausparkassen System," ERES eres2002_221, European Real Estate Society (ERES).
    7. Suarez, Jose L. & Vassallo, Amparo, 2004. "European mortgage market: An overview 1992-2003," IESE Research Papers D/562, IESE Business School.
    8. Lea, Michael J. & Renaud, Bertrand, 1995. "Contractual savings for housing : How suitable are they for transitional economies?," Policy Research Working Paper Series 1516, The World Bank.
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    More about this item

    Keywords

    Transplantation of institutions; mortgage markets; transition economies; Russia;
    All these keywords.

    JEL classification:

    • P20 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - General
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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