Shteingauz D. Financial and credit instruments to ensure effective functioning of the residential real estate market in Ukraine

In the dissertation, the theoretical and methodological principles are deepened and practical recommendations for the development of financial and credit instruments of ensuring the effective functioning of the residential real estate market in Ukraine are developed. The work is devoted to an analysis of the nature and role of the residential real estate market in financial and investment processes, and to an improvement of classification of financial and credit instruments to ensure their effective functioning. Systematization of scientific approaches to the definition of "real estate", "residential real estate market" and "financial and credit instruments to ensure the effective functioning of the residential real estate market" allowed to clarify them and reflect the specifics in terms of financial flow management. Identification of residential real estate, taking into account its dual nature as real and financial assets, created a methodological basis for ensuring the effective functioning of the residential real estate market by forming a set of financial instruments. The complex classification of financial and credit instruments of the residential real estate market proposed in the work allows to increase the efficiency of its functioning due to the reasonable choice of financial and credit instruments taking into account their belonging to certain types, forms, and types on various grounds and interrelationships. The scientific approaches developed in the dissertation to assess the attractiveness of investment in residential real estate in terms of identification and systematization of explicit and implicit components of income and expenditure of investors for different uses of residential real estate will ensure completeness and adequacy of investment income estimates. Improved scientific and methodological approaches to assessing the effectiveness of financial instruments in the residential real estate market are based on the consistent implementation of six stages and will identify the effect of different financial instruments, taking into account not only the peculiarities of the cost component of housing income from various alternatives to the financial motives of investors. The paper establishes that the mechanisms of functioning of the residential real estate market should be focused on meeting the housing needs of local communities. The formed integral system of functions of financial and credit instruments of ensuring the effective functioning of the residential real estate market in terms of establishing their relationship with the functions of the market. The analysis of the development of the residential real estate market in Ukraine conducted in the dissertation allowed to substantiate the reasons for the decline in housing affordability, identify key trends in the residential real estate market, and identify factors hindering the development of the modern real estate market in Ukraine. The proposed concept of development of financial and credit instruments of the residential real estate market is based on the impact of objective and subjective characteristics of the system of financing investments in residential real estate on the formation of requirements and directions of financial and credit instruments of the residential real estate market. It is established that the development of financial and credit instruments to improve the efficiency of the residential real estate market should be focused on: 1) development of mortgage lending and creating conditions for the development of long-term mortgage lending; 2) improving the interaction of primary and secondary mortgage markets; 3) preservation of the mechanism of financing housing construction at the expense of individual and institutional investors; 4) development of lending to developers of residential real estate, based on market principles; 5) formation of an effective system of state support for the purchase of housing by the population. The paper substantiates that the efficiency of the residential real estate market is an integral characteristic of the efficiency of interaction of all subjects of this market. The efficiency of the residential real estate market should be defined as the Pareto-optimal ratio of the effect of the use of financial instruments by market participants to the cost of measures to create and apply financial schemes and models of residential real estate in the market that caused this effect. Evaluating the effectiveness of various financial instruments must combine taking into account the state of satisfaction of economic interests of all market participants and promoting general economic growth.