1, the loan interest rate is lower than the commercial loan interest rate.
Speaking of provident fund loans, the most direct feature is that the loan interest rate is lower than that of commercial loans. At present, the annual interest rate of housing provident fund loans for more than five years is 3.25%, and the annual benchmark interest rate of commercial loans is 4.90%. Commercial banks may give 10% discount on this basis. When buying a house, if you use the housing provident fund loan, the annual interest rate may differ by 1.65%, which saves a lot of housing costs for buyers.
2. There is no penalty for repaying the loan in advance.
Compared with commercial loans, repayment with housing provident fund loans is more flexible. When the provident fund is repaid, the monthly repayment amount shall not be lower than the "minimum repayment amount" stipulated by the bank. If you want to pay back in advance after buying a house with a mortgage loan from the housing provident fund, you only need principal and interest, no matter whether you repay part or all of the loans in advance, and you don't need to pay liquidated damages. And commercial loans to buy a house are repaid in advance, either in one lump sum or in multiples of 10 thousand yuan.
3. The loan amount is large and the term is long.
Property buyers all know that in the case of a certain total house payment, the greater the loan amount, the less the down payment and the less the pressure; The longer the loan term, the less the monthly payment and the less the pressure. Compared with commercial loans, housing provident fund loans have obvious advantages. Usually, if there is a policy, the content of the policy will be biased towards provident fund loans. For example, the down payment for commercial loans is at least 30%, and the down payment for provident fund loans is at least 20%.
4. There are few restrictions on the age of the house and the age of the lender.
Many off-site property buyers are helpless because of the age limit, which leads to the inability to apply for commercial loans or get enough money when buying a house. Because the age limit for commercial loans is that the sum of the lender's age and the loan period must be less than 65 years old, there is no age limit for provident fund loans. For the age of the house, the requirements for commercial loans are relatively strict. For example, houses before 1985 are basically not given loans, while provident fund loans have more flexible requirements for housing age. You can apply if the sum of the house age and the loan period does not exceed 50 years.
5, can be extracted in advance
In fact, the use of provident fund is not only in the loan to buy a house. Housing provident fund can also be used to purchase or build self-occupied housing with independent property rights, or relevant valid certification materials can prove family difficulties.