A Study on Applying Reverse Mortgage to the Farmland Annuity

• Main Authors: HSU, CHIH-HSIANG, 許智翔
• Other Authors: WU, TSAI-CHU
• Format: Others
• Language: zh-TW
• Published: 2018
• Online Access: http://ndltd.ncl.edu.tw/handle/8y38c3

碩士 === 長榮大學 === 土地管理與開發學系碩士班 === 106 === In recent years, our country has dedicated to the development of industry, commerce, and service. When agriculture transformed into industry, commerce and service, the development of agriculture will face a great impact. The migration of rural population to urban area has caused the decrease of rural population and labor force. The amount of wasteland in rural land increases, the proportion of gross domestic production decreases (GDP) year by year. The peasants who work hard for all year with the meager income of the industry. The standard of living is generally lower, so that the gap between agricultural and non-agricultural income has gradually increasing. However, the urbanization rate increase significantly, the migration of rural population to urban area has caused the urban land worth a gold in every inch. The rural population and labor force decreased, and the ageing population and sub-replacement fertility become serious. These are also leads to the increase of wasteland in rural areas and the serious waste of resources. This study intends to use the reverse mortgage pricing model to explore the reverse mortgage price of farmlands. Using the general deposit interest rates published by agricultural bank of Taiwan to calculate the annuity you receive for each year and change in interest rates. Then the annual income of each farmer released by Council of Agriculture is declared as pre-retirement income, and calculated the income replacement ratio by annuity. And the income replacement ratio investigates whether the reverse mortgage of farmlands is enough to provide "land-for-pension scheme", to reduce the rural pension burden and improve the retirement life of the aged-farmers. The research shows that the counties and cities which the annual growth rate of agricultural land price is positive, the annuity is enough to support farmers' daily life after retirement, and don’t need any other financial sources to support them. And the results also show that the reverse mortgage loan of agricultural land is feasible in economy and can be considered to promote the agricultural use of agricultural land.