Risk transfer through securitization and application regarding Turkish mortgage system

The concept of the mortgage is used to purchase real estate, to raise funds or, alternatively, to invest money for any purpose by existing property owners. In this context, the main function of the mortgage system is to provide a homebuyer with enough money to buy a home by buying an existing home or building a new home. The mortgage pays directly to the seller or builder and prepares a repayment plan that the borrower can afford. The study, by considering the concept of mortgage, the mortgage system in the world, given the theoretical framework and are given mortgage system in Turkey. However, the place of securitization in finance theory and financial risk methods are also examined. In the last part, an econometric analysis was conducted to reveal the impacts given, which are thought to affect the mortgage sales. In this framework, in order to reveal the factors affecting the mortgage sales, which has an important place in the construction industry for the monthly data of [2013.01-2019.10] period, Dickey-Fuller and Philips-Perron tests and cointegration tests were applied. Long-term coefficient analyses were created with the Fully Modified Ordinary Least Square (FMOLS). The latest Granger Causality Analysis was applied to reveal the causality aspects among the variables. As a result of the findings, the interest and housing price index has a decreasing effect on mortgage sales, while the livelihood index and consumer confidence index have a positive effect on mortgage sales. When the causality relationship between the variables is examined, there is no causal relationship between the mortgage sales interest variable, while there is a causal relationship between the interest variable and the mortgage sales. Keywords: Securitization, Risk Transfer, Mortgage System, Econometric Analysis