Economic and legal component of mortgage market development in Ukraine

Abstract

The development of the economic and legal component of the mortgage lending system in Ukraine is traced. It was determined that the adoption of the Law of Ukraine «On Property» was the first step towards the formation of the mortgage market in the country. The mortgage system is studied as a factor influencing the accumulation of free funds, their redistribution and risk reduction. The role of mortgage lending in solving socio-economic problems of the country is considered. The necessity of studying the experience of other countries and taking into account national peculiarities for effective development of the mortgage system in Ukraine is substantiated. It was emphasized that the level of development of the mortgage lending market shows the maturity of the financial system development and the degree of confidence of the population of the country in the financial and credit system. The subject of the study is evolution of the economic-legal component of the mortgage market in Ukraine. The purpose of the work is to substantiate the logic of the economic and legal aspect of the formation and development of the system of mortgage lending in Ukraine. To achieve the goal, the system approach was used - to integrate the methodology of scientific knowledge of the history of the development of the financial system in Ukraine as part of the world financial system, which made it possible to establish the need to take into account world experience, current problems and taking into account national specificity; logical-critical analysis - in determining the sequence and extent of the importance of separate legal acts in Ukraine. The practical significance of the results is the possibility of their use to improve the theoretical basis of the formation of the system of mortgage lending in Ukraine. Conclusions. 1) The modern market of mortgage lending is the result of a long, gradual, logical development of the financial market; 2) The level of development of the mortgage lending market indicates the maturity of the financial system and the degree of confidence of the population of the country in the financial and credit system; 3) For a long historical period, the Ukrainian lands belonged to different state formations; accordingly, the laws and the procedure for the formation of the financial system changed, which contributed to its «lagging» in development from the western countries; 4) The first step in shaping the system of mortgage lending in independent Ukraine was the adoption of the Law of Ukraine «On Property», because private property issues are the cornerstone of the country's mortgage system; 5) Mortgage should become an effective financial mechanism that overcomes the problem of accumulation of financial resources of our country in conditions of high inflation; will help to solve the problem of introduction of technological innovations, modernization of agriculture, industrialization of industry, solving chronic and large-scale problems of residential unfinished projects.