Construction of Real Estate Debt Crisis Early Warning Model Based on RBF Neural Network

Abstract

The current market economic environment is constantly changing, and real estate companies are constantly facing various risks in the course of their operations, which have created some obstacles to real estate companies’ normal financial activities, and the occurrence of a debt crisis may reduce the company’s expected benefits. If real estate companies can identify debt risks early on and take effective steps to avoid them, they will have a better chance of avoiding debt problems. Therefore, this study introduces RBF neural network technology to construct a new real estate debt crisis early warning model. This study selects 20 indicators, constructs the financial early warning index system of listed companies, collects the financial data of 86 real estate listed companies from 2016 to 2020, uses the principal component analysis method to reduce the dimension of the collected financial data, and uses the reduced dimension data to construct the real estate debt crisis early warning model of RBF neural network to realize the real estate debt crisis early warning. The empirical results show that the early warning model constructed in this study can effectively warn the real estate debt crisis, effectively analyze the development trend of real estate companies, help to better prevent the debt crisis of real estate enterprises, and improve the comprehensive benefits of real estate enterprises.

Integrated Evaluation of Financial Risk in Coal Industry Restructuring: A Model of Linear Regression and PCA

“…e six independent variables in formula (1) can be calculated according to the financial statement data of listed companies. Financial crisis index W has no actual corresponding index in reality, so it is necessary to specify an alternative index [26][27][28][29][30][31]. After multiple weighing, the logistic function of the quick ratio is selected as the approximate alternative index of W, which is…”

Blockchain-driven framework for financing credit in small and medium-sized real estate enterprises

“…However, the limited availability of funds hinders SMREEs' growth and development. The real estate industry is capital-intensive, and its development is long-term financing (Gui et al, 2022). SMREEs face significant challenges in obtaining financing due to their limited profitability and high credit risks compared to large real estate enterprises, SMREEs have insufficient mortgage guarantees and represent high credit risks (Li et al, 2018); consequently, they face considerable constraints in obtaining financing through credit evaluation of banks (Li et al, 2022a, b).…”

“…SMREEs face significant challenges in obtaining financing due to their limited profitability and high credit risks compared to large real estate enterprises, SMREEs have insufficient mortgage guarantees and represent high credit risks (Li et al, 2018); consequently, they face considerable constraints in obtaining financing through credit evaluation of banks (Li et al, 2022a, b). These challenges may lead to bankruptcy and reorganization (Gui et al, 2022;Li et al, 2016), affecting the stable development of the national economy (Gao et al, 2021). Therefore, further investigations on SMREEs' financing credit evaluation are necessary.…”

“…However, the limited availability of funds hinders SMREEs' growth and development. The real estate industry is capital-intensive, and its development is long-term financing (Gui et al. , 2022).…”

“…, 2022a, b). These challenges may lead to bankruptcy and reorganization (Gui et al. , 2022; Li et al.…”