House prices have risen again! A report released by the E-House Real Estate Research Institute shows that in June 2021, the house price index of the 288 cities monitored by the institute increased by 5.7 points. Many people may not understand what the index means. In short, an increase in the house price index means an increase in house prices.

By June, the index had reached 1582.5 points, an increase of 0.36% compared with May. Moreover, according to data released by E-House, from February The index showed an upward trend from the beginning and has been rising for five consecutive months as of June. Looking at major cities alone, house prices are rising in about 57% of the 288 cities.

For ordinary people, this means that it is more difficult to buy a house. Speaking of which, housing prices in our country have been high for many years, and the continuous rise in housing prices in recent years has made it increasingly difficult for people to buy houses. Under such circumstances, the "business" of banks has become more and more "business". Hot”.

Loans to buy houses have become mainstream

Since you can’t afford to buy a house even if you save money, then choose to apply for a mortgage. Therefore, the higher the house price, the more people apply for housing loans. Nowadays, buying a house with a loan seems to have become the "mainstream" purchase method in the real estate market. Judging from central bank data, at the end of the first quarter of 2021, my country’s real estate loan balance exceeded 50 trillion yuan.

An important part of it is personal housing loans, with a balance of 35.67 trillion yuan, accounting for about 71.2%. From this data, it can be seen that the proportion of loans to buy houses in our country People have become a huge group. At the same time, judging from the data of the past two years, the balance of personal mortgage loans is increasing.

In 2019, the balance of personal mortgage loans was only 26.87 trillion yuan, but by the first quarter of 2020, it reached 31.15 trillion yuan, and now it is as high as 35.67 trillion yuan. trillion, it can be seen that more people are indeed choosing to take loans to buy houses. However, don’t think that buying a house with a loan is a “good deal.” The high interest rates on mortgages are still a headache for many home buyers.

Data from the China House Price Market Network shows that in June 2021, the median total transaction price of second-hand houses nationwide was 1.35 million yuan. If you buy a house at this price, based on the minimum down payment of 30% of the commercial loan, the down payment will be 40,500 yuan, then you will need a loan of 945,000 yuan. If we add it up, it will be 940,000 yuan.

So do you know how much interest a loan of 940,000 yuan will cost?

The loan method affects the level of interest

As we all know, there are two ways to apply for a mortgage, equal principal and equal principal and interest. The choice of loan affects the level of interest. Let’s calculate it under the same conditions, based on the base interest rate of 4.9% on June 1, 2021, and the repayment period of 30 years.

If it is an equal amount of principal and interest, and the loan is 940,000 yuan, we will need to repay a total of about 1.795 million yuan, and the interest will be about 855,000 yuan; but if For equal amounts of principal, the total repayment amount is a little less, about 1.632 million yuan. Similarly, the interest is also much less, only 692,000 yuan.

It can be seen that with the same interest rate and the same repayment period, the interest difference between different loan methods is approximately 163,000 yuan. It can be seen that the impact of loan methods on interest How big. Some people say that if everyone chooses the same amount of principal, wouldn’t they be able to repay less?

This is not the case, because while considering interest, we also need to consider the relationship between our own repayment ability and monthly payment. Although the equal principal and interest are small, the first month's monthly payment is 6,449.44 yuan; on the other hand, the monthly payment for equal principal and interest is only 4,988.83 yuan. For people with low monthly income, they still have to choose equal principal and interest.

However, no matter which loan method is used, the interest rate is relatively high, and the interest rate is hundreds of thousands. If you really buy a house like this, it is equivalent to spending more than 1 million on the house. Nearly 2 million yuan to buy is really too high, and many home buyers feel like they are giving money to the bank.

In fact, bank executives revealed: There are also tips to save money on mortgage repayments!

Tips for saving money on mortgage repayment

First, if your income allows, choose a shorter repayment years. Above we talked about the interest gap between equal principal and equal principal and interest, but in fact, many banks will directly default to equal principal and interest, and cannot choose equal principal. In this case, the interest can only be reduced by reducing the repayment period. .

It is still a 940,000 yuan mortgage. The interest rate remains unchanged and the principal and interest are repaid in equal installments. The interest in 30 years is about 855,000 yuan, but in 20 years it is only about 536,000 yuan. However, at the same time, the monthly payment will also increase from 4988.83 yuan to 6151.77 yuan, so you should choose this method based on your own income.

The second is the long-term loan and short-term repayment method. This method can be regarded as an unwritten regulation of the bank. The method is as follows: by choosing a repayment period of 30 years to ensure that the monthly payment is reduced, and after about 5 or 6 years of repayment, the remaining balance will be paid out at once. All the principal will be returned to the bank, reducing later interest.

However, this method may require paying a certain penalty to the bank, but it is definitely more cost-effective than monthly repayments. Think about it, the interest of 855,000 yuan for a 30-year period is equivalent to a monthly interest payment of 2,377 yuan. After 5 years of repayment, the interest paid will be approximately 142,000 yuan.

Then the remaining unpaid interest is 713,000 yuan. At this time, repaying the principal, even if you pay a certain amount of liquidated damages, will definitely be cheaper than paying more than 700,000 yuan in interest. Good deal.

In general, more and more people nowadays can only rely on mortgage loans to buy houses, and people not only have to worry about high housing prices, but also worry about high interest rates on mortgages. Therefore, learn these two Tips can help people in need reduce mortgage interest and save more money.

However, some experts said that even though the mortgage interest rate seems high, it is still a good deal because everyone has to take inflation into account. Now the monthly payment is several thousand yuan. , in 10 or 20 years, thousands of dollars may not be "valuable" anymore. For example, 20 years ago, you were asked to take a loan with a monthly payment of 500 yuan. It was a "high price" at that time, but what about now?

Therefore, for everyone, the loan method and term must be determined according to their actual situation. Since you have chosen to take a loan to buy a house, you just need to work hard to make money and repay the loan. Don’t No more worries about high interest rates.

I wonder if you think it is cost-effective to buy a house with a loan? Will you choose full payment or loan? Welcome to leave a message in the comment area for discussion.