According to Announcement [20 19] No.30 of the People's Bank of China, there are two ways to choose stock loans. One is to directly choose a fixed interest rate, and the interest rate level after individual housing loan conversion should be equal to the latest execution interest rate level of the original contract; The second is to choose the floating interest rate form of LPR. According to the calculation of "loan market quoted interest rate (LPR) plus floating point", LPR is variable and the floating point remains unchanged. According to Announcement [20 19] No.30 of the People's Bank of China, the interest rate level of personal mortgage is unchanged before and after the conversion. The interest rate selected according to LPR should be expressed as: LPR+ floating point. The original 4.9% is converted into LPR4.8%+0.10% = 4.9% according to LPR 4.8% in February of 20 19, and the mortgage interest rate is the same as before the first repricing date. From the first repricing date, the mortgage interest rate will become "the latest LPR+0. 10% at that time" (that is, if the LPR was 4.65% at that time, the execution interest rate would be 4.65%+0.10% = 4.75%); And so on, every repricing day.
LPR is a variable. Compared with the above methods, since the conversion is carried out according to the benchmark interest rates of 4.8% (more than five years) in 2065438+2009 and 65438+2009, it is obvious that if the LPR is higher than 4.8% in the next five years, you can choose a fixed interest rate (the default choice is not to handle it); On the other hand, if it is judged that the future LPR is lower than 4.8%, you can choose to convert it into LPR. LPR is published on 20th of every month, and the LPR published from April to May 20th of 2020 is 4.65%, which is significantly lower than 4.8%.