First, the mortgage can be paid off in advance, but it is not easy to apply for paying off the mortgage in advance. In some cases, it is necessary to sign a new contract and pay liquidated damages. The repayment method also needs to be carried out in accordance with the regulations of the bank.

Among them, there are two ways to repay the mortgage in advance:

First, pay off all in advance.

What is full prepayment? The so-called full prepayment means that the borrower pays off all the loans owed at one time. This repayment method needs to go through the mortgage cancellation procedures at the local housing authority and provide relevant information according to the requirements of the housing authority. After the completion, you will not be troubled by the mortgage, and the property right of the house belongs to you completely.

2. Repay part of the loan in advance

There are two ways to repay part of the loan in advance: one is to shorten the repayment period when the monthly repayment amount is fixed; The other is that the monthly repayment amount is reduced, but the repayment period remains unchanged. The advantage of the first method is that it can reduce interest, and the advantage of the latter method is that it can reduce the monthly supply and relieve the pressure of monthly supply.

These are two ways to repay the mortgage in advance.

Investment information:

Housing loan is any form of housing loan support provided by banks and other financial institutions to buyers, usually with the purchased house as collateral. According to the source of loan funds, it is divided into provident fund loans and commercial loans. According to the repayment method, it can be divided into two types: equal principal and interest repayment method and average capital repayment method. The housing loan interest rate is based on the benchmark interest rate of banks in the same period, and the loan interest rates of different banks have slightly increased.

The types of housing loans provided by banks mainly include enterprises and individuals.

Personal housing loans can be divided into personal housing provident fund loans and personal housing commercial loans, entrusted loans, self-operated loans and portfolio loans.

personal housing accumulation fund loan

Personal housing provident fund loan is a loan that employees who pay housing provident fund units to the fund management center on time in a specified period, buy or build their own houses (including second-hand houses) in this city, use their own property houses as collateral, and apply to the fund management center for guarantee by a legal person with guarantee ability. Loans can be issued by banks entrusted by the fund management center.

Personal housing commercial loan

It can be roughly divided into six varieties:

(1) Personal housing loan (including forward house and existing house);

(2) Personal second-hand housing loans;

(3) individual housing renovation loans;

(4) Personal housing consumption loans;

(five) personal commercial housing loans;

(6) individual housing portfolio loans;

(1) Personal housing loans refer to loans issued by banks with purchased houses as collateral, including mortgage loans for forward houses and existing houses. Among them: the auction house refers to the house under construction or the house that has been completed and accepted and is in the process of handling the real estate license; Xianfang refers to the house that has been completed and accepted and obtained the property right certificate. The maximum amount of personal housing loans issued by banks is 80% of the purchase amount.

(2) Personal second-hand housing loans refer to loans issued by banks to borrowers for the purchase of second-hand housing. Among them, second-hand housing refers to the housing that has obtained all property rights and can enter the secondary market of real estate for circulation and trading. The age of applying for a loan for a second-hand house is generally not more than 15 years; The sum of the loan term and the house age is generally not more than 25 years.

(3) Personal housing renovation loans refer to loans issued by banks to borrowers for renovating their own houses. The maximum proportion shall not exceed 50%, and the loan period shall not exceed 5 years.

(4) Personal housing consumption loans refer to loans issued by banks to borrowers for family expenses. The maximum proportion shall not exceed 50% of the assessed value of the collateral, and the longest loan period shall not exceed 10 year.

(5) Personal commercial housing loans refer to loans granted by banks to borrowers for purchasing personal self-operated commercial housing and self-occupied office housing. The purchased commercial house shall be an existing house, with the highest proportion not exceeding 60% and the longest loan period not exceeding 10 year.

(6) Individual housing portfolio loans refer to loans composed of housing provident fund loans and housing guarantee loans, that is, when individuals apply for housing provident fund loans to pay the purchase price, the insufficient part applies to the bank for commercial housing loans.

The two loans bear interest according to the provident fund loan interest rate and the commercial loan interest rate respectively, and the loan term is the same. Borrowers can apply for portfolio loans from banks that accept provident fund loans. National laws and regulations

Housing entrusted loan refers to the loan issued by the bank to individuals who purchase ordinary housing as required, and the source of funds is housing provident fund deposits.

Housing self-operated loan is a loan issued to individual buyers from the source of bank credit funds.

Housing portfolio loan refers to the loan from the housing provident fund deposit and credit funds to the same person who buys the same set of ordinary housing for their own use. It is a combination of personal housing entrusted loan and self-operated loan.

Housing savings loan refers to a kind of loan on the premise that property buyers deposit money in advance in order to obtain bank loans. It is a kind of contractual housing savings to solve the financial difficulties for those who have not participated in the provident fund or have obtained provident fund loans but still have a funding gap.

Second, can the mortgage be repaid in advance?

Yes, it is not recommended that you advance.

First, it is suitable for people who repay loans in advance.

If you are sensitive to pawn and have a lot of mental pressure in your heart, you can choose not to have other investment plans in order to ease the psychological pressure and avoid being heavily in debt. If you don't repay the loan, you can choose to deposit the money in the bank, saving interest and loans. So if that's the case,

There is another situation, because we all know that mortgage repayment is based on the house, so if you need to remove the mortgage of this house and use it for other mortgage investments, you can also choose to repay the loan in advance.

Second, it is not suitable for people who repay loans in advance.

Since there are people who are suitable for repaying loans in advance, what we are talking about here is not suitable, not in the true sense, or it is not recommended to repay loans in advance.

First of all, you can use the cash in your hand to do better and more desirable things, so you don't have to repay the loan in advance;

Of course, there is another kind of people who use housing provident fund loans. We should know that this kind of interest is actually very low and can be reduced by repaying the loan in advance.

Finally, if you choose equal principal and interest, you have already paid off half of the loan, or choose average capital, and the repayment has already passed 1/3. In this case, the interest you can save is quite limited. Of course, it is not recommended to repay the loan in advance. How much pressure do you bring to yourself? Still not suitable for repaying loans in advance.

specific requirements

This has a lot to do with whether you choose equal principal and interest repayment or equal principal repayment when applying for a loan. Because when we apply for a loan, the monthly repayment includes principal and interest. "Equal amount" is a way that most people will choose, and "average capital" gradually decreases with the decrease of principal.

If you really don't want to pay back the monthly payment and you don't have any investment ability, of course, the sooner the more cost-effective, because the interest is calculated according to compound interest, so the longer the time, the principal and interest will be paid off. At the basic interest rate, the interest is almost the same as the principal.

According to the deadline, it should be three to five years after buying a house. At this time, it is better to pay back the money in one lump sum, because the interest paid during this period is not much.

3. Can the mortgage be repaid in advance? For example, can you have more money?

1. Individuals should repay their mortgage in advance. In fact, most banks require applicants to apply for mortgage repayment in advance one year after applying for mortgage. Many banks can also repay their mortgages in advance for the whole year, but in this case, banks will charge a certain penalty.

2. As for the collection of liquidated damages for prepayment, each bank is different. If you must repay the mortgage in advance in less than one year, you must first consult the bank that loaned it.

3. Repay the mortgage in advance. Most banks will not charge liquidated damages after one year of general mortgage. Of course, a few banks will charge some liquidated damages. The collection of liquidated damages generally ranges from 3% to 5%.

4. In addition, individual prepayment also depends on whether it is paid off in advance or part of the loan. If it is a partial loan, the bank will limit the repayment amount.