From March 1 2020, the calculation method of all bank mortgage interest rates will be changed from the previous benchmark interest rate * discount mode (referring to the floating interest rate of stocks) to the "LPR+ integral" or "fixed interest rate" mode, and the processing time will be from March 1 to August 3 1.
With the beginning of the stock mortgage conversion, many small partners have received the "life and death serial phone call" from the bank about the mortgage interest rate conversion, and many fans have left messages in the group. Should my mortgage be transferred to LPR? Do you want to transfer the previous mortgage interest rate of 30% or 20%?
There is only one chance. Which is more cost-effective, fixed interest rate or LPR?
Today, Bian Xiao sorted out the relevant knowledge points of LPR for your reference.
What is LPR,
How should mortgage owners choose?
First of all, what is LPR?
LPR (Best Lending Rate) is the quoted interest rate in the loan market.
To put it simply, the People's Bank of China synthesizes the market quotations of 18 representative commercial banks, and forms the loan market quotation rate, which is published on the 20th of each month (postponed in case of holidays).
At present, LPR includes 1 year and more than 5 years.
For general loans, refer to 1 year LPR, and for mortgages, refer to LPR with a term of more than 5 years.
For example: On 20 18, Gao Xiao borrowed a 30-year mortgage with equal principal and interest from the bank. At that time, the benchmark interest rate rose 10%, that is, 4.9%× 1. 1=5.39%. After the promulgation of the New Deal, Gao Xiao faced two choices:
First, choose a fixed interest rate.
From now to the future, the interest rate will be 5.39% in 30 years, whether it is down or up.
Second, turn to LPR.
Gao Xiao decided to change the loan repayment method to LPR pricing. The regulatory requirements are based on 2065438+LPR interest rate of 4.8 on February 20th, 2009. Gao Xiao's bonus items are: 5.39%-4.8% = 0.59%; Gao Xiao repaid the loan to the bank according to the regulation of "LPR+0.59%".
When the LPR is lowered below 4.8%, the real interest rate in Gao Xiao is lower than 5.39%, and the repayment method is more cost-effective than the fixed interest rate. If the LPR is raised above 4.8%, it will not be cost-effective.
Another example is:
Cheng Xiao bought a commercial house on 20 15. At that time, the loan pricing method was 30% off the benchmark interest rate of 4.9, and the mortgage calculation method was: 4.9%*0.7=3.43%.
The conversion into LPR pricing is also based on the LPR interest rate of 4.8 on February 20th, 20 19, and the mileage appreciation is: 3.43%-4.8%=- 1.37%.
After that, Cheng Xiao repaid the loan to the bank according to the rule of "LPR- 1.37%".
At this time, when the LPR is 4.9%, it is more cost-effective to choose a fixed interest rate.
* After the implementation of *LPR, individual housing loans can still choose fixed interest rate or floating interest rate.
Turn or not?
Expert: The mortgage interest rate itself is very low and cannot be transferred.
Many people want a clear answer about turning or not, but because of the uncertainty of LPR, even experts will not directly say whether to choose A or B.
However, regarding the future trend of LPR, most experts are surprisingly consistent: the future interest rate decline is a high probability event.
"It is best to choose a floating interest rate. According to the current travel interest rate, it is basically decreasing, so it is not cost-effective to choose a fixed interest rate. If I apply for a mortgage, I will definitely choose a floating interest rate. " The bank manager told Bian Xiao very sincerely.
However, this answer is not suitable for everyone. Some people have made a 30% or 20% discount on the benchmark interest rate, and their mortgage interest rate is very low, less than 4%. At this point, it may not be converted to LPR.
"If my loan is discounted on the basis of the benchmark interest rate, I will basically choose the fixed interest rate because it is already suitable," said Ma Guangyuan, an economist.
In fact, the two conversion methods have their own advantages, and the specific choice depends on the borrower's own judgment, especially on the future interest rate trend.
If you think that LPR will decline in the future, it will be better to refer to LPR pricing instead;
If you think LPR may rise in the future, it will be beneficial to switch to a fixed interest rate.
Which borrowers can convert the LPR+ point interest rate?
Convertible:
Floating-rate personal housing loans (including commercial personal housing loans in provident fund portfolio loans, excluding provident fund personal housing loans) that have been issued and signed before 2020 1 but not issued with reference to the benchmark loan interest rate.
This means that the loan contract issued and signed before June 65438+1 October1in 2020 can be transferred if you meet the requirements and want to transfer it.
As for the contracts signed after June 5438+ 10, 2020, they shall be calculated according to LPR.
(Screenshot of CCB official website Announcement)
Unable to convert:
1.65438+The stock floating interest rate loan due before February 3, 20201is in the last repricing cycle, so you can choose not to convert it;
2. Mortgage loan is a fixed interest rate loan;
3. Personal provident fund loans.
It is worth reminding that according to the policy requirements of the central bank, after converting the pricing benchmark into LPR, it is not allowed to switch back to pricing at the benchmark interest rate, that is, the pricing benchmark can only be converted once, and the borrower should make a rational choice after careful consideration.
The above are some knowledge points about LPR, I hope to help you.