3. Financial Systems, Flow of Funds to Property and Innovations

  1. Piyush Tiwari1 and
  2. Michael White2

Published Online: 21 FEB 2014

DOI: 10.1002/9781118836651.ch3

Real Estate Finance in the New Economy

Real Estate Finance in the New Economy

How to Cite

Tiwari, P. and White, M. (2014) Financial Systems, Flow of Funds to Property and Innovations, in Real Estate Finance in the New Economy, John Wiley & Sons, Chichester, UK. doi: 10.1002/9781118836651.ch3

Author Information

  1. 1

    Faculty of Architecture, Building and Planning, University of Melbourne, Australia

  2. 2

    School of Architecture, Design and the Built Environment, Nottingham Trent University, UK

Publication History

  1. Published Online: 21 FEB 2014
  2. Published Print: 14 MAR 2014

ISBN Information

Print ISBN: 9781405158718

Online ISBN: 9781118836651

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Keywords:

  • Property;
  • Flow of funds;
  • Innovations in property investment

Summary

This chapter discusses the mechanisms for funds flow to property, investors who invest in property, intermediaries who are conduits for channelising flow of funds and mechanisms that have developed to channelise funds from investors into property. These mechanisms have evolved within a country's regulatory and institutional environment as a way to allocate risk associated with financing property to those who can assume them for returns in commensuration with the risk. The chapter also discusses innovations that have happened in property investment and their contribution to enhancing efficiency in property market investment. The discussion in the chapter suggests that some of the oft-cited advantages of these innovations are unfounded. The contribution though has been in widening the space of investment in property. Advantages to investors associated with innovative mechanisms depend on their individual circumstances.