How is the mortgage paid?
1. Mortgage repayment methods are divided into equal principal and interest and average principal.
2. The monthly repayment amount of equal principal and interest is the same. In essence, the proportion of principal increases month by month, and the proportion of interest decreases month by month. With the same loan term and loan amount, the total interest of equal principal and interest is much higher than the average capital.
3. The monthly repayment amount in the average capital is different, showing a state of decreasing month by month; It divides the loan principal equally according to the total repayment months, plus the interest of the remaining principal in the previous period, thus forming the monthly repayment amount. So the repayment amount in the average capital is more than one month, and then decreases month by month, less and less.
4. The average capital repayment method pays less interest than the matching principal and interest repayment method. The two repayment methods are based on how much principal they occupy to calculate the corresponding proportion of interest in advance, and the difference is not big. Comparing the two repayment methods, in a sense, the average capital method (decreasing method) is not necessarily better than the matching principal and interest method (matching method), and the choice of repayment method will vary from person to person.
How to repay the mortgage is more cost-effective?
1. When signing the loan contract, you can enjoy the interest rate discount of 30% to 8.5%. Because you have enjoyed the lower discount interest rate, you are now in the channel of interest rate reduction. If the central bank doesn't cut interest rates during the year, even if it is implemented at the recent interest rate of 65438+ 10/in June next year, the interest will only be lower than that in the previous period, so it is not appropriate to repay the mortgage in advance.
2. For the buyers whose repayment period of equal principal has passed13, because the average capital divides the total loan by half the cost, the repayment interest is calculated according to the remaining principal. In other words, the later this repayment method is, the less the remaining principal will be, so the less interest will be generated. In this case, when the repayment period exceeds 1/3, the borrower has already paid nearly half of the interest, and the later repayment is mostly the principal, and the interest level has little effect on the repayment amount.
3. For the buyers who have reached the medium-term repayment of equal principal and interest, the repayment of equal principal and interest will add up the total principal and interest of the mortgage loan, and then distribute it evenly to each month. The monthly loan interest is calculated according to the remaining loan principal at the beginning of the month and settled monthly. In other words, the proportion of principal in the monthly repayment amount increases month by month, and the proportion of interest decreases month by month.
There are also details about how to repay the mortgage and how the mortgage is more cost-effective. Here Bian Xiao will analyze it with you, hoping to help you. A more cost-effective way to repay mortgage loans is to average capital. Generally speaking, the interest paid by average capital is much less than the equal principal and interest, but the repayment pressure is greater.