Generally speaking, the loan term is 20-30 years, and it can be paid off in one lump sum in about 5 years, which can save some interest expenses.
Third, there is no suitable, only suitable. Long-term mortgage and short-term loan can also save some interest expenses, but they are not suitable for all property buyers.
It is understood that long-term and short-term mortgage loans are also suitable for a class of buyers, that is, they intend to pay off the loans in one lump sum in advance.
Extended data:
First, prepayment is generally divided into two ways: partial prepayment and full prepayment.
Two, according to the different repayment methods, the borrower can choose to reduce the term or amount. It is understood that at present, most banks can provide five ways to repay loans in advance for customers to choose from.
3. Full prepayment, that is, the customer pays off all the remaining loans at one time. There is no need to repay interest, but interest paid is non-refundable.
4. Partial prepayment, the monthly repayment amount of the remaining loans will remain unchanged, and the repayment period will be shortened. (save more interest).
5. Partial prepayment, the monthly repayment amount of the remaining loan is reduced, and the repayment period remains unchanged. Reduce the burden of monthly payment, but less than the second one.
Six, part of the early repayment, the remaining loans will reduce the monthly repayment amount, while shortening the repayment period. (save more interest).
Seven, the remaining loans to keep the total principal unchanged, only shorten the repayment period. The monthly payment increases and the interest decreases, but it is relatively uneconomical.
Eight, financial experts suggest that early repayment, should try to reduce the principal, shorten the loan period, so that the interest paid is less.