The Effects of Chinese Special Reverse Mortgage Loans on Retirement Behaviours

Li, Yunbo and Bradley, Steve and Fletcher, Ian (2023) The Effects of Chinese Special Reverse Mortgage Loans on Retirement Behaviours. PhD thesis, Lancaster University.

Text (2023 Yunbo Li PhD)
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Abstract

China has witnessed an aging population since 1999. Now, it is faced with such problems as a large population base and the rapid growth of the elderly population, and the level of aging is increasing. The social endowment security system is also facing problems such as the weakening of family pension function (family members help old people in their family) and pension funding gap. The housing Reverse Mortgage Loan has become a mature pension system in foreign countries. However, due to the influence of the traditional pension culture in China, the start date of this research is later than other countries. The housing reverse mortgage loan is helpful in coping with the problem of aging population in China, helping to build a multi-level and sustainable old-age security system, and promoting the healthy development of society. Based on this, this paper analyses the data from the perspective of "the impact of reverse mortgage on retirement behaviour" by using PSM+DID model analyses and qualitative thematic analyses, respectively. The results of this mixed research method approach shows that gender has no statistically significant influence on retirement behaviour, but health factors showing a significant positive effect on retirement behaviour. Moreover, family income has significant positive effects on retirement behaviour. The final results show that reverse mortgage products have a certain degree of influence on people's retirement behaviour, but the influence varies with the year, region or retirement policy. Finally, based on my results, we put forward practical implications as follows: China's reverse mortgage pension market needs more pilot exploration; Insurance companies and the government should harmonize; Establish a comprehensive platform for reverse mortgage loans; Strengthen publicity, change the traditional old-age concept; The improvement and perfection of retirement policy.